IBM Vice President Gary Cohn said the president that of Donald Trump Federal Reserve nominee Kevin Warsh is in a unique position to overhaul the central bank, highlighting Warsh’s active role during the 2008 financial crisis and his plans to return the Fed to traditional monetary and regulatory standards.
Cohn made the remarks Sunday during an appearance on CBS’s “Face the Nation,” where host Margaret Brennan asked him about Trump’s choice to lead the Federal Reserve.
Cohn, who worked closely with Warsh during the financial crisis while at Goldman Sachs, said the former Fed governor understood how markets reacted under stress and was willing to reverse course. unconventional policiesincluding an inflated balance sheet, while focusing the central bank on its core economic mission.
“I think we are very fortunate to have Kevin as our candidate,” Cohn told Brennan. “Kevin has a unique background as president.”
WHO IS KEVIN WARSH, TRUMP’S CHOICE TO SUCCEED JEROME POWELL AS FED CHAIRMAN?
Kevin Warsh, former governor of the U.S. Federal Reserve, speaks at the annual conference of the American Economic Association (AEA) in Chicago, January 6, 2017. (Daniel Acker/Bloomberg via Getty Images / Getty Images)
Cohn highlighted Warsh’s time at the Federal Reserve during the 2008 financial crisis, describing him as “pivotal” during that period.
“What I mean by that is when the banks were going through stress, we saw a lot of bank mergers, a lot of assets moving around the system. Kevin was the point person within the system. the Fed”, Cohn said. “He was involved in every one of those discussions.”
“I sincerely believe that without Kevin’s expertise and without his presence, we would not have come out of the 2008 crisis as well,” he said. “So he’s very highly qualified.”
TRUMP NOMINATES KEVIN WARSH TO SUCCEED JEROME POWELL AS FEDERAL RESERVE CHAIRMAN
Kevin Warsh walks to lunch at the Allen & Co. Media and Technology conference in Sun Valley, Idaho, Wednesday, July 9, 2025. (David Paul Morris/Bloomberg via Getty Images / Getty Images)
Cohn expressed confidence that Warsh would return the Federal Reserve to its traditional role, including focusing on monetary policy rather than nonfinancial issues.
“There’s pressure right now for interest rates to come down. I think he’ll probably continue his one-to-two cuts this year,” Cohn said. “Kevin also believes that the Fed should not have a large balance sheet. You know, the Fed came in and bought huge amounts of securities…I think Kevin is going to reverse that trend.”
Cohn said Warsh is a traditionalist who supports strong regulation that allows markets to grow while ensuring consumers have access to capital.
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President Donald Trump gestures as he speaks during the Asia-Pacific Economic Cooperation CEO Summit at the Gyeongju Arts Center in Gyeongju on October 29, 2025. (Anthony Wallace/AFP/Getty Images / Getty Images)
“I think he’s actually the right choice in this period,” he said.
Trump formally announced Warsh’s nomination on Friday, ending months of speculation about who he would choose to lead the central bank.
In announcing his choice, Trump said he had known Warsh for years and expressed confidence that he would go down as one of the most successful Fed chairs in history.
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Warsh must still be confirmed by the Senate before ascending to one of the most powerful positions in American economic policy.
Before joining the Federal Reserve, Warsh worked in the private sector at Morgan Stanley and then in the administration of President George W. Bush, building a reputation in Republican economic policy circles. Bush appointed him to the Fed Board of Governors in 2006, making him the youngest Fed governor in history, at 35 years old.
Since leaving the Fed in 2011, Warsh has held academic and advisory positions, including serving as the Shepard Family Distinguished Visiting Scholar in Economics at the Hoover Institution and a visiting scholar at Stanford University’s Graduate School of Business. He also serves on the board of directors of UPS and is a director of several prominent economic policy organizations.
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Warsh has been a familiar figure in past deliberations of the Trump administration, having been considered to replace Janet Yellen as Fed chair in 2017, when Trump instead chose Jerome Powell. He was also considered to become Treasury secretary last fall before Trump nominated hedge fund manager Scott Bessent.
Eric Revell of FOX Business contributed to this report.
