Treasury’s Yellen to stay on at Biden’s request as showdown over debt nears

President Biden asked Treasury Secretary Janet Yellen to stay in her post, and she agreed, a White House official familiar with the matter said.

Biden made the request in mid-December, the official said. Biden is preparing for turnover in his Cabinet and questions have swirled over how long Yellen would remain in his administration.

Bloomberg has previously reported that Yellen, 76, was prepared to remain Treasury secretary well after the midterms. Yellen told NBC in November that she intended to stay for “the duration” of Biden’s current term.

Treasury officials declined to comment.

The development ensures stability at the Treasury ahead of a fight in Congress over raising the debt ceiling and a looming threat of a recession as the Federal Reserve raises interest rates to cool inflation.

The move also gives Yellen more time to see through some of her key priorities, including a revamp of the Internal Revenue Service, reforms at the World Bank and adding pressure on Russia over its Ukraine war via sanctions and the oil price cap.

— With assistance from Christopher Condon.