Foreign Holders of US Treasuries by Region

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Foreign holders of US Treasuries come from all corners of the globe, with various regions contributing significantly to the total.

China is the largest holder of US Treasuries, with a staggering $1.1 trillion in foreign-held securities.

The next largest holders are Japan and Ireland, with $1.0 trillion and $290 billion, respectively.

Interestingly, the majority of foreign-held US Treasuries are held by countries with significant trade relationships with the United States.

Foreign Holders of US Treasuries

Japan and China are the largest foreign holders of U.S. debt, accounting for $2,353.3B or 34.55% of American debt owned by foreign countries.

The U.S. national debt has been on an upward trajectory for several years, with the recent coronavirus spending pushing the national debt to new heights, reaching a deficit of $3.7T.

In May 2019, Japan surpassed China as the largest foreign holder of American debt. This shift in ownership is a notable trend in the foreign market for American debt.

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The Cayman Islands own a surprising amount of U.S. debt, with $207.2B or 3.04% of all foreign holders. This is likely due to American investors holding assets offshore but still looking for the security of government bonds.

A number of European countries own a significant amount of U.S. debt, including the U.K. ($395.3B), Ireland ($271.5B), and Luxembourg ($246.1B). These countries don't inspire the same kind of doom and gloom in the American media imagination as Japan and China.

The U.S. still has a lower debt-to-GDP ratio than many other countries, despite the rising national debt and economic concerns. This is a notable aspect of the U.S. economic situation.

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Country Breakdown

The United States has a diverse group of foreign holders of its treasuries, with various countries investing in U.S. debt. Japan held $1.13 trillion in Treasury securities as of November 2024, beating out China as the largest foreign holder of U.S. debt.

Credit: youtube.com, Top 10 US bonds holder country//FOREIGN HOLDERS OF U.S TREASURY SECURITIES FROM 2000 TO MAR2020 //

The United Kingdom is another significant foreign holder, with British investors holding $743.9 billion of U.S. debt as of November 2024. The U.K.'s investment in U.S. debt may be linked to its difficult economic situation.

Here is a breakdown of the top 5 foreign holders of U.S. debt as of November 2024:

Cayman Islands

The Cayman Islands is a global tax haven, and it's also a major player in the world of U.S. Treasury securities. As of November 2024, the Cayman Islands holds a whopping $419.5 billion of U.S. debt, making up 4.9% of the total.

This isn't a new development, though - the Cayman Islands has been a significant holder of U.S. Treasury securities for a while. In fact, as of October 2018, the Cayman Islands held $208.2 billion in U.S. Treasury securities, which was an increase from the previous month's $200 billion.

Here's a breakdown of the Cayman Islands' U.S. Treasury holdings over the years:

Note that these figures are subject to change and might not reflect the current numbers. However, they give you an idea of the Cayman Islands' significant role in the global market.

Korea

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Korea is a significant holder of U.S. Treasury Securities. As of Sep 2018, the country held $110.8 billion worth of these securities.

The data on Korea's holdings is updated monthly, with an average of $50 billion from Mar 2000 to Sep 2018. This average is based on 223 observations.

Korea's holdings of U.S. Treasury Securities have seen fluctuations over the years. The data reached an all-time high of $110.8 billion in Sep 2018 and a record low of $24.7 billion in Mar 2000.

Here's a comparison of Korea's holdings in Feb 2018 and Sep 2018:

Expand your knowledge: China Holdings of Us Treasuries

India

India's investment in US Treasury Securities has been on the rise. In September 2018, India held 144.000 USD billion in US Treasury Securities, a significant increase from the previous month.

This increase is part of a larger trend, with India's average holding over the past 16 years being 38.800 USD billion. The data is updated monthly and has been consistent since January 2002.

India's all-time high in US Treasury Securities was 157.000 USD billion in March 2018, a peak that was not reached again in subsequent months.

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Others

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Credit: pexels.com, Detailed grayscale image focusing on the Eye of Providence from a US dollar bill.

The "Others" category in the country breakdown of foreign holders of US Treasury Securities is a significant one. It reported a decrease from 573.600 USD bn in August 2018 to 549.300 USD bn in September 2018.

This data is updated monthly and has been averaging 155.300 USD bn since March 2000. The data is categorized under Global Database's USA – Table US.Z050, which tracks Major Foreign Holders of US Treasury Securities.

The "Others" category has seen its highest value of 680.600 USD bn in November 2017 and its lowest value of 36.800 USD bn in February 2016.

Here's a summary of the "Others" category's data range:

The "Others" category's data remains active and is reported by the US Department of Treasury.

Kingdom

The United Kingdom is a significant holder of U.S. debt. As of November 2024, British investors hold $743.9 billion of U.S. debt.

The UK's investment in U.S. debt may be linked to its difficult economic situation. The U.K. holds about 8.7% of U.S. foreign debt.

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Credit: pexels.com, Detailed close-up of US dollar banknotes showcasing currency design and textures.

In September 2018, the Treasury Securities: Foreign Holder: United Kingdom data reached an all-time high of 350.700 USD bn in May 2010.

Here's a breakdown of the UK's U.S. debt holdings over time:

Note that data from March 2015 no longer includes information for Guernsey, Jersey, and the Isle of Man.

Japan

Japan is the largest foreign holder of U.S. debt, holding a whopping $1.13 trillion in Treasury securities as of November 2024. This is a significant increase from previous years and solidifies Japan's position as the largest foreign holder of U.S. debt.

Japan's share of foreign-owned U.S. debt is approximately 13.3%, making it a substantial player in the global economy. This is a notable fact, considering the country's history with the U.S. and its economic influence.

As of November 2024, Japan's Treasury holdings surpassed China's, marking a significant shift in the balance of power among foreign holders of U.S. debt. Japan's economy has been a major driver of this growth, and its investment in U.S. debt is likely to continue in the future.

Here are the top 10 foreign holders of U.S. debt, with Japan and China taking the top two spots:

Japan's significant investment in U.S. debt is a testament to the country's economic influence and its desire to stabilize its economy through low-risk investments.

Luxembourg

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Luxembourg is a significant player in the global economy, and its investment in U.S. debt is no exception. As of November 2024, Luxembourg holds $402.0 billion in U.S. Treasuries, which is equal to 4.7% of total foreign holdings.

Luxembourg's status as a tax haven is likely a contributing factor to its large investment in U.S. debt. With a GDP per capita of $128,259 as of 2023, Luxembourg is one of the wealthiest countries in the world. This wealth is often parked in local holding companies, which then invest in various securities, including Treasuries.

Luxembourg's investment in U.S. debt is substantial, ranking it as the fourth-largest holder of U.S. debt among foreign countries. This is a notable achievement, considering the country's relatively small size.

Here is a breakdown of the top 5 holders of U.S. debt among foreign countries:

Note that these figures are subject to change and may not reflect the current numbers. However, they give an idea of the significant role Luxembourg plays in the global economy.

Official

Credit: youtube.com, FOREIGN HOLDINGS OF U.S. TREASURIES SECURITIES

Official foreign holders of US Treasuries are a significant group, and we can look at some interesting facts about them. According to the data, the total foreign holder of US Treasury Securities was 4,030.00 USD bn in Feb 2018.

The US Department of Treasury reports this data, and it's categorized under Global Database's USA – Table US.Z050: Major Foreign Holders of US Treasury Securities. This data is updated monthly, averaging 2,625.500 USD bn from Mar 2000 to Sep 2018.

One of the most notable aspects of foreign holders of US Treasuries is the top 10 countries that hold the most debt. Japan holds the largest share, with $1,271.7B, followed closely by China with $1,081.6B.

Here's a list of the top 10 countries that hold the most US debt:

These countries, along with others, are significant holders of US debt, and their investments are a crucial part of the US Treasury market.

Types of Debt

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The U.S. national debt is categorized into two main types: intragovernmental debt and public debt. Intragovernmental debt makes up about a fifth of the total outstanding U.S. debt.

Intragovernmental debt includes money owed to Social Security, military retirement funds, Medicare, and other retirement funds. The remainder of the national debt is public debt.

Public debt is held by a variety of entities, including foreign governments, U.S. banks, individual investors, the Federal Reserve, state and local governments, mutual funds, pensions funds, insurance companies, and holders of savings bonds.

As of November 5, 2024, $28.58 trillion of the national debt is held by the public.

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Key Statistics

The United States government owes a significant amount of money to foreign countries, with Japan holding the largest share. Japan owns $1.13 trillion in U.S. government debt as of August 2024.

China ranks second in total U.S. debt owned by foreign countries, but the exact amount is not specified in the article. The top five foreign holders of U.S. debt are Japan, China, the U.K., the Cayman Islands, and Luxembourg.

Credit: youtube.com, Japan Joined China to Ditch US Treasury; 42% Sell-off: Collapse of US Economy?

The total national debt is a staggering $35.91 trillion as of November 5, 2024, with about four-fifths of that debt being public debt. Public debt includes Treasury holdings by foreign countries.

Here's a breakdown of the top foreign holders of U.S. debt:

Frequently Asked Questions

Can foreigners buy treasury bonds in the US?

Foreigners can buy US Treasury bonds, but they typically need to open an account with a brokerage or financial institution that allows foreign investors. Requirements may vary, so it's best to check with a financial expert for more information.

Rodolfo West

Senior Writer

Rodolfo West is a seasoned writer with a passion for crafting informative and engaging content. With a keen eye for detail and a deep understanding of the financial world, Rodolfo has established himself as a trusted voice in the realm of personal finance. His writing portfolio spans a range of topics, including gold investment and investment options, where he provides readers with valuable insights and expert advice.

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