Janet Yellen, president of the Federal Reserve Bank of San Francisco, is all set to become the next vice chairman of the Federal Reserve Board, according to the sources familiar with the matter. Yellen is the first choice of President Barack Obama for this post. Donald Kohn, the current vice chairman of Federal Reserve Board, will retire in June this year.

Ms. Yellen is working as the president of the Federal Reserve Bank of San Francisco since 2004. She is reportedly a strong supporter of the policies of Ben Bernanke, Fed Chairman. Yellen, a well known macroeconomist, is already one of the most influential officials at the U. S. central bank. Yellen has already worked as a member of Fed board of governors under former Fed chairman Alan Greenspan.

This expected move by the government was also welcomed by the National Association for Business Economics. The members of NABE said that Yellen would be an ideal candidate as vice chairman.

According to the reports, Obama administration has also decided to fill two vacant seats on the seven member board. The administration has selected the nominees for these vacancies but the names were not disclosed yet.