Federal Reserve Board Member Stephen Millan during a television interview on the floor of the New York Stock Exchange on November 10, 2025.
Michael Nagle | Bloomberg | Getty Images
Federal Reserve President Stephen Milan formally submitted his resignation Thursday, saying he will vacate his seat on the central bank’s board on or shortly after new Chairman Kevin Warsh takes over.
Mr. Millan stepped in to fill the remainder of his term that expired last September, serving as a contrarian voice on the Federal Open Market Committee, which sets interest rates. He has voted “no” in each of the six meetings he has attended since replacing Adriana Kugler, who abruptly resigned in August 2025.
Milan said in his letter that his brief term had been “the honor of my life” and expressed confidence in Warsh, who was confirmed to the top seat by the Senate on Wednesday. Mr. Milan joined the Fed after serving as chairman of the Council of Economic Advisers.
“I’m excited about the changes that incoming Chairman Kevin Warsh and the Fed will make in areas such as communications policy, balance sheet policy, and keeping the Federal Reserve true to its narrow mission and away from high-profile political and cultural issues,” he said.
Milan has previously advocated lower rates, voting against three quarter-point cuts approved by the FOMC in 2025. This year, it voted against three decisions to keep interest rates unchanged in favor of cutting rates by a quarter of a percentage point.
He also promotes a more forward-looking approach to monetary policy, saying he believes the Fed “needs to better consider non-monetary factors and their impact on monetary policy.” Specifically, he cited the impact of declining population growth rates and immigration on employment, as well as deregulation as a factor in suppressing inflation.
“Given the lag in monetary policy, we have emphasized that policy decisions need to be forward-looking and incorporate these effects now,” Milan said.
He also expressed support for a series of moves the Fed has enacted to lower regulatory barriers for banks, and led a study showing how the central bank should reduce the size of its balance sheet and $6.7 trillion in asset holdings.
