As of January 2024, Japan held United States treasury securities totaling about 1.15 trillion U.S. dollars.
Foreign holders of United States treasury debt
According to the Federal Reserve and U.S. Department of the Treasury, foreign countries held a total of eight trillion U.S. dollars in U.S. treasury securities as of January 2024. Of the total held by foreign countries, Japan and Mainland China held the greatest portions, with China holding 797.7 billion U.S. dollars in U.S. securities. Other foreign holders included oil exporting countries and Caribbean banking centers.
The U.S. public debt
In 2022, the United States had a total public national debt of 30.9 trillion U.S. dollars, an amount that has been rising steadily, particularly since 2008. In 2022, the total interest expense on debt held by the public of the United States reached 497 billion U.S. dollars, while 227 billion U.S. dollars in interest expense were intragovernmental debt holdings. Total outlays of the U.S. government were 6.37 trillion U.S. dollars in 2022. By 2028, spending is projected to reach eight trillion U.S. dollars.
FAQs
Of the total held by foreign countries, Japan and Mainland China held the greatest portions, with China holding 797.7 billion U.S. dollars in U.S. securities. Other foreign holders included oil exporting countries and Caribbean banking centers.
What percentage of US Treasuries are held by foreigners? ›
How much US debt do foreign countries own? As of January 2023, foreign countries own $7.4 trillion in Treasurys — or roughly 24% of total US debt. Over the past two decades, central banks and other government entities have owned 50-75% of foreign-owned debt.
Who owns most of the US treasury bonds? ›
The largest holder of U.S. debt is the U.S government. Which agencies own the most Treasury notes, bills, and bonds? Social Security, by a long shot. The U.S. Treasury publishes this information in its monthly Treasury statement.
Who is buying US treasuries now? ›
The buyer base for US Treasuries has shifted from yield-insensitive buyers (sovereign wealth funds and central banks, including the Fed) to yield-sensitive buyers (US households, US pensions, US insurance), see chart below.
Who owns over 70% of the US debt? ›
Of the $33T of debt, roughly 78% is owned by the public (70% US vs 30% International). The major US public owners include the FED ($6T, but they are no longer buyers), mutual funds, banks, states, pension funds and insurance companies.
What percentage of US debt does China own? ›
China currently holds 10.2% of U.S. foreign debt.
Can non US citizens buy Treasuries? ›
Can you buy T-Bills as a foreigner? As a foreigner, you can't buy treasury bills from treasurydirect.gov website as a foreigner. That is only for US citizens. You can buy U.S. Treasury bills through a bank or brokerage account that allows you to purchase U.S. securities.
Can non residents buy US Treasury bonds? ›
Therefore, the expatriate may purchase millions of dollars worth of CDs, bonds, etc. to generate some stable income. When the interest income is interest income, U.S.-sourced, and qualifies as portfolio income — it is not taxable to the nonresident alien owner of the bond.
Who is the largest foreign holder of US debt revealed? ›
Japan, the largest non-U.S. holder of Treasuries, increased its U.S. government debt to $1.167 trillion, the largest since August 2022 when the country's holdings were at $1.196 trillion.
What happens if China dumps US bonds? ›
If China (or any other nation that has a trade surplus with the U.S.) stops buying U.S. Treasuries or even starts dumping its U.S. forex reserves, its trade surplus would become a trade deficit—something which no export-oriented economy would want, as they would be worse off as a result.
Treasury bonds are how the US - and all governments for that matter - borrow hard cash: they issue government securities, which other countries and institutions buy. So, the US national debt is owned mostly in the US - but the $5.4tn foreign-owned debt is owned predominantly by Asian economies.
Why do foreign countries buy US treasuries? ›
US Treasury bonds are considered a safe and liquid investment and are widely held by investors around the world, including foreign governments. The demand for US Treasury bonds from foreign governments can help finance the US federal government's debt and influence long-term interest rates.
Can China call in US debt? ›
Nations like China typically hold US debt in the form of various US Treasury debt, including bonds and other notes. None of these instruments allow debt holders to simply demand repayment…you get the terms and conditions associated with the bond and there's little flexibility to “calling in all of their debts”.
Which country has no debt? ›
1) Switzerland
Switzerland is a country that, in practically all economic and social metrics, is an example to follow. With a population of almost 9 million people, Switzerland has no natural resources of its own, no access to the sea, and virtually no public debt.
Can foreigners invest in US Treasury? ›
It is also possible to buy U.S. Treasury bills through a government securities broker or dealer, who can help facilitate the purchase on your behalf. You may need to provide documentation such as a passport or other identification to open an account and buy U.S. Treasury bills.
Are US Treasury bonds owned by China? ›
China owns around 2.6% of U.S. debt, which it buys because the Chinese yuan is pegged to the dollar. It would be impossible for China to call in all its U.S. debt at once, given the different maturity dates of the U.S. securities that China owns. United States Department of Treasury.
Who is selling US treasury bonds? ›
TreasuryDirect.gov is the one and only place to electronically buy and redeem U.S. Savings Bonds. We also offer electronic sales and auctions of other U.S.-backed investments to the general public, financial professionals, and state and local governments.
