In recent years, investors and several nations have begun to pay close attention to Treasury securities. They are trustworthy not only because of the assurance and security but also because it is an international low-risk investing strategy. They have the full guarantee of the US government. It might be used to build up foreign exchange reserves, which are imperative for trading, as many nations prefer using US dollars.
But, in this time of tremendous inflation, economic instability, and interest rates striking higher day by day, U.S. bonds are becoming less advantageous and profitable. Because of this, Japan has beaten China as the nation holding the most U.S. debt. China's treasury holdings have decreased by 256 billion dollars, or 30%, in total. All of this might be a result of the increase in US dollars beyond 2022, which caused U.S. debt holding to fall to 6%.
With 1,076 billion dollars, Japan is the nation with the largest owner of US Treasury securities. Unfortunately, China came in second position, but it entered the top five lists with 867 billion dollars, followed by the United Kingdom (655 billion dollars), Belgium (354 billion), and Luxembourg (329 billion).
Furthermore, an infographic from VisualCapitalist includes 13 nations from Europe, all of which hold high and prominent positions. Moreover, the Asia-Pacific region contains 11 nations in total, as well.
Little countries like Luxembourg, the Bahamas, Bermuda, and Cayman Island, which have a total population of about 1.2 million, were found to have performed rather well in this research compared to many other countries. The majority of individuals are shocked to learn that they have 741 billion treasuries in total.