The latest official data released in November reported that Saudi Arabia had significantly increased its US Treasury holdings by 10.71 percent, the highest percentage gain since the records started to be kept in 1974.
The Kingdom’s US Treasury portfolio remained at $148.8 billion in the month, and surged up to $14.4 billion since October. After the surge, Saudi Arabia climbed a notch higher to occupy the 17th position among the biggest foreign holders of the US Treasuries.
The US Treasuries are being invested in by countries such as Saudi Arabia due to the perceived security, liquidity, diversification advantages, and due to their economic relationship with the US. The Kingdom’s holdings had increased 17.25 percent in November compared with January 2025.
This distribution indicates that Saudi Arabia favors longer-dated United States government debt to its foreign reserve policy, emphasizing capital conservation, liquidity, and diversification in the face of international market volatility.
However, Saudi Arabia’s holdings marked $106.8 billion in long-term securities, resulting in 72 percent, while short-term holdings stood at $42 billion, or 28 percent.
Japan continued to hold the largest foreign investment in the US Treasury securities at $1.2 trillion, closely followed by the United Kingdom at $888.5 billion, mainland China at $682.6 billion, and Belgium at $481 billion.
Canada was in fifth position with holdings of $472.2 billion, Cayman Islands and Luxembourg were at sixth and seventh positions with their portfolios valued at $427.4 and $425.6 billion, respectively.
Therefore, France was ranked as eighth with a sum of $376.1billion, with Ireland coming next with $340.3billion and Taiwan with $312.5billion. Other countries covered under the top 20 list are Switzerland, Singapore, Hong Kong, Norway, India, and Brazil.
The data from the General Authority of Statistics indicated that Saudi Arabia has a good trade relationship with the US, and the Kingdom has shipped SR5.20 billion of non-oil goods in October.
In an interview with the Arab News in October, Nasser Saidi, Founder and President of Economic and Financial Advisory Services firm Nasser Saidi & Associates and a former minister of economy and trade in Lebanon, added that the US treasuries are a key pillar of stability.
He further stated, “Holding treasuries allows Saudi Arabia to meet its international payment obligations — finance imports, service external debt, portfolio, and capital flows — provide a buffer against oil revenue shocks, while also generating a steady, low-risk stream of income.”
