Scott Bessent wins Senate confirmation as US Treasury Secretary

Bessent’s first challenge will be managing federal cash flows after government hit statutory debt limit on Trump’s second day in office

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Scott Bessent was confirmed as President Donald Trump’s Treasury Secretary by the US Senate on Monday. Photo: AFP / Getty Images / TNS

Published: 7:49am, 28 Jan 2025Updated: 9:06am, 28 Jan 2025

The US Senate on Monday confirmed Scott Bessent as US President Donald Trump’s Treasury secretary, giving the billionaire hedge fund manager a central role in shaping the new administration’s policy ambitions around tax cuts and spending and managing economic relationships with allies and adversaries alike.

As the 79th Treasury secretary, Bessent will have sway over the nation’s tax collections and its US$28 trillion Treasury debt market, with vast influence over fiscal policy, financial regulations, international sanctions and investments from overseas.

The vote was 68-29, with 16 Democrats supporting the nomination.

Bessent, 62, is already shaping up to be a forceful advocate for Trump’s economic agenda, which centres on reducing taxes and imposing steep tariffs that Democrats, and some economists, argue could undo some of the progress the Federal Reserve has made in getting inflation under control.

In his confirmation hearing, Bessent warned that failure to renew US$4 trillion in tax cuts expiring at the end of this year would be a “calamity” for middle-class Americans, and made the case that tariffs would help combat unfair trade practices, increase revenues, and bolster US leverage in international negotiations.

He also pushed back against the idea that Trump’s policies would be inflationary, and said the administration’s efforts to increase oil production would actually help bring down prices.

As Trump’s top economic official, Bessent will face a range of challenges, the most immediate of which will be managing federal cash flows after the government hit its statutory debt limit on Trump’s second day in office.