Federal Reserve Governor Milan officially submits resignation and will step down from the position of Federal Reserve Governor

Federal Reserve Governor Stephen Milan officially submitted his resignation on Thursday, stating that he will step down from his position as a Federal Reserve Governor.

Milan took over as a governor last September, succeeding the then-Federal Reserve Governor Kugler. Kugler unexpectedly resigned in August 2025, and Milan filled the remainder of his unexpired term. Within the Federal Open Market Committee (FOMC), Milan consistently played the role of a "dissenter;" in the six meetings he attended since his appointment, he voted against the consensus each time.

In his resignation letter, Milan stated that this brief tenure was the greatest honor of his life and expressed confidence in Waller. Waller was confirmed by the U.S. Senate on Wednesday to officially serve as Chairman of the Federal Reserve. Before joining the Federal Reserve, Milan served as Chairman of the President’s Council of Economic Advisers.

In his letter, Milan wrote: "Looking ahead, I am excited about the changes that incoming Chairman Kevin Waller and the Federal Reserve might implement in the areas of communication policy, balance sheet policy, and more. I also look forward to seeing the Federal Reserve return to its core responsibilities and stay away from political and cultural controversies."

Milan has always advocated for rate cuts. He voted against all three 0.25 percentage point rate cuts approved by the FOMC in 2025. This year, facing three decisions to keep rates unchanged, he also voted against, instead supporting a 25 basis point cut.

Additionally, Milan stated that he has consistently pushed for the Federal Reserve to take a more forward-looking approach to monetary policy and believes that the Fed needs to better incorporate non-monetary factors and their impact on monetary policy into its considerations.

Milan also expressed support for a series of recent measures by the Federal Reserve to lower banking supervision thresholds and led research exploring how the Federal Reserve should reduce the size of its balance sheet and its holdings amounting to as much as $6.7 trillion.