Fiscal policy and a "feckless" federal government are dragging on U.S. economic growth, a top Federal Reserve official said on Tuesday.

Dallas Federal Reserve Bank President Richard Fisher said central bankers had boosted money supply but fiscal policymakers had not provided incentives for businesses to increase investment, instead wasting their time in bickering.

"Fiscal policy is not only 'not an ally of U.S. growth,' it is its enemy," Fisher said, according to excerpts of a speech prepared for a meeting of Financial Executives International in Dallas.

"It is my firm belief that the fault in our economy lies not in monetary policy but in a feckless federal government that simply cannot get its fiscal and regulatory policy geared so as to encourage business to take the copious amount of money we at the Fed have created and put it to work creating jobs and growing our economy."