(AFP) – The US Senate is widely expected to confirm billionaire hedge fund manager Scott Bessent for Treasury secretary Monday, putting him at the forefront of implementing Donald Trump’s economic agenda — which is already sparking global jitters. Bessent, a Wall Street veteran who was born and raised in South Carolina, has defended the Republican president’s tax cutting and tariff proposals while urging efforts to secure supply chains and the dollar’s global status.
On Saturday, he cleared a procedural Senate vote by 67-23, winning support from a number of Democrats. If confirmed late Monday, Bessent, 62, has said he would back tougher sanctions on Russian oil majors as a way to end the war in Ukraine, while signaling a hawkish approach on China. During his confirmation hearing, Bessent stressed that Washington should ensure its lead in areas like chips and artificial intelligence, while adding he would push Beijing to boost US agriculture purchases.
Trump returned to the White House this month on promises to help the world’s biggest economy avert “calamity,” vowing lower taxes to aid Americans squeezed by high costs of living and tariffs to pressure other countries to align on US concerns. As Trump warns of tariffs on allies and adversaries — including major trading partners Mexico and Canada on February 1 — all eyes are on how his Treasury chief walks the line between supporting these efforts and avoiding tensions that may roil the world economy.
At his hearing, Bessent disagreed that Trump’s proposed duties on imports would be paid for domestically, and also took aim at government spending. The Treasury Department has oversight across areas from federal finances to bank supervision. It also oversees US sanctions.
Bessent’s confirmation would make him one of the first openly gay cabinet officials. He has been based in Charleston, South Carolina, with his husband and their two children. Bessent has known the Trump family for three decades and was friends with the president’s brother, he previously said on Trump ally Roger Stone’s radio show. “I was all-in for President Trump,” he told Stone. He added at the time that being in Trump’s cabinet means “your job is to do what Donald Trump wants you to do” and to find an effective way to implement his policies.
Bessent attended Yale University and served as chief investment officer of Soros Fund Management, the macroeconomic investment firm of billionaire George Soros. In 2015, he raised capital, including $2 billion from Soros, to start his own hedge fund. Bessent is chief executive at Key Square Group, but he has committed to resigning from the position at the hedge fund and divesting his partnership share upon confirmation.
– Beiyi SEOW
© 2024 AFP
