Saudi Arabia Reduces Holdings of US Treasury Bonds by $500 Million in February to $126.4 Billion

The US Treasury Department’s monthly report, released a short while ago, revealed that Saudi Arabia reduced its holdings of US Treasury bonds and bills by the end of February to $126.4 billion, a decrease of $500 million compared to January 2025, representing a 0.4% decline, and a 3.6% annual decrease of $4.7 billion.

With the decrease in the Kingdom’s holdings of US Treasury bonds and bills during January, the Kingdom’s holdings of US bonds have declined for the second consecutive month in 2025, after reducing its holdings by approximately $10.6 billion, or 7.7%, to $11.1 billion during the first two months of the year. Despite the decline during the first two months of this year, the Kingdom maintained its 17th place among the largest investors in US bonds and treasury bills. No Arab or Middle Eastern country appeared among the top 20 largest investors in US bonds and treasury bills.

The Kingdom’s holdings of US bonds and treasury bills are distributed between $104.7 billion in long-term holdings, representing 83%, and approximately $21.7 billion in short-term holdings, representing 17%.

Holdings of US bonds and treasury bills by various countries around the world increased by $290.2 billion, rising to approximately $8,817.2 billion, compared to $8,527 billion at the end of last January, a 3.4% increase. Japan leads investors in US bonds and treasury bills with $1.126 trillion, followed by China with $784.3 billion, the United Kingdom ($750.3 billion), the Cayman Islands ($417.8 billion), Luxembourg ($412.5 billion), Canada ($406.1 billion), Belgium ($394.7 billion), France ($354 billion), Ireland ($339.0 billion), Taiwan ($294.8 billion), Switzerland ($290.8 billion), Hong Kong ($273.8 billion), Singapore ($260.0 billion), India ($228.0 billion), Brazil ($207.3 billion), Norway ($161.8 billion), and Saudi Arabia in 17th place.