Federal Reserve Chairman Jerome Powell says institutions such as the central bank should resist taking on big issues like climate change unless Congress authorizes it.
Mr. Powell made the comments during a speech at a Swedish conference on Tuesday amid a broader debate over the role of the Fed and major banks in addressing climate change and getting involved in environmental, social and governance (ESG).
“Without explicit congressional legislation, it would be inappropriate for us to use our monetary policy or supervisory tools to promote a greener economy or to achieve other climate-based goals,” Mr. Powell said.