Prime Highlights:
- Saudi Arabia increased its US Treasury holdings to $134.4 billion in October, maintaining its position among the world’s top foreign investors.
- The Kingdom’s investment focuses mainly on long-term bonds, reflecting a strategy of capital preservation, liquidity, and risk management.
Key Facts:
- Long-term US Treasury holdings account for $106.3 billion (79%), while short-term bonds make up $28 billion (21%).
- Saudi Arabia ranks 18th globally among foreign holders, while the UAE held $110.7 billion, ranking 20th.
Background:
Saudi Arabia has continued to strengthen its position among the world’s top foreign holders of US Treasury securities, increasing its holdings to $134.4 billion in October, according to official data from the US Treasury Department.
The Kingdom’s Treasury portfolio rose slightly by 0.07 percent from September, when holdings were $134.3 billion. Saudi Arabia’s US Treasury holdings have been steadily increasing, reaching $133.1 billion in August and $131.7 billion in July. Compared with January, the total is up 5.91 percent, showing a gradual rise in the Kingdom’s investment in US government debt over the year.
In October, Saudi Arabia ranked 18th among foreign holders of US Treasuries, keeping its place as an important investor. Like other countries, the Kingdom invests in these securities for their safety, diversification, and strong economic ties with the United States.
Most of Saudi Arabia’s holdings are in long-term bonds, which make up $106.3 billion, or 79 percent of the total. Short-term bonds make up $28 billion, or 21 percent. This shows the Kingdom’s focus on keeping money safe, available, and balanced against market changes.
For comparison, the United Arab Emirates held $110.7 billion in US Treasuries in October, ranking 20th among major foreign holders. Japan remained the largest foreign investor with $1.20 trillion, followed by the United Kingdom at $877.9 billion, and China at $688.7 billion.
Other top holders of US Treasuries were Belgium ($468.4 billion), Canada ($419.1 billion), Luxembourg ($419 billion), and the Cayman Islands ($418.5 billion). France, Ireland, and Taiwan completed the top ten with $390.2 billion, $340.4 billion, and $309.5 billion.
Saudi Arabia’s growing US Treasury holdings show careful management and confidence in US debt.
