Global central bank chiefs issue statement in support of Powell

A raft of central bank chiefs issued a joint statement on Tuesday in support of Federal Reserve chair Jerome Powell, after the Trump administration threatened him with a criminal indictment.

The heads of the Bank of England, the European Central Bank, the Bank of Canada, Sweden’s Riksbank and seven other central banks said: "We stand in full solidarity with the Federal Reserve System and its Chair Jerome H. Powell. The independence of central banks is a cornerstone of price, financial and economic stability in the interest of the citizens that we serve.

"It is therefore critical to preserve that independence, with full respect for the rule of law and democratic accountability. Chair Powell has served with integrity, focused on his mandate and an unwavering commitment to the public interest. To us, he is a respected colleague who is held in the highest regard by all who have worked with him."

On Sunday, the long-running row between Trump and Powell escalated when the Department of Justice opened a criminal investigation into the central banker.

Powell said prosecutors had launched a criminal investigation into the $2.5bn renovation of the Federal Reserve’s headquarters, and into his testimony about the project to the Senate banking committee in June last year.