Central banks were set up for independent banking functions, on the premise that it would be best for a country to keep its financial system from undue political influences.
Over time, politicians have always let their natural tendency to exert influence produce financial and economic pressures. It generally is harmful to change objective banking independence, particularly during stressful economic times.
How are major central banks doing with regard to their current national financial crises?
The Bank of England: Relatively independent but rather involved with its government bond market.
Bank of Japan: Somewhat independent since 1998 but it often has been politically directed.
U.S. Federal Reserve Bank: Congress, which always loosely supervised it, now wants audits and more semi-annual disclosure, which would exert pressure.
The Fed now goes more deeply into the American economy than it had before, aside from any additional legislation regarding regulation.
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