Saudi Arabia's holdings of US Treasury securities decreased to $126.4bn in February 2025, dropping by $500mn compared to January, Argaam reported on April 22.

The kingdom maintained its ranking as the 17th largest holder of US Treasury bonds, with the US often relying on the petrostate for bond purchases historically. The declining holdings should worry the US, which has been increasingly at odds with Riyadh. No other Arab or Middle Eastern country appeared among the top 20 largest investors in US bonds and Treasury bills.

The 0.4% monthly decline contributes to a larger 3.6% annual decrease of $4.7bn compared to February 2024 levels, according to the US Treasury Department's monthly report.

This marks the second consecutive monthly reduction in Saudi holdings during 2025, with the kingdom reducing its US Treasury investments by approximately $10.6bn, or 7.7%, during the first two months of the year.

Saudi investments in US Treasury securities were distributed between $104.7bn in long-term holdings, representing 83% of the total, and approximately $21.7bn in short-term holdings, accounting for 17%.

Meanwhile, global holdings of US Treasury securities increased by $290.2bn to approximately $8,817.2bn, up from $8,527bn at the end of January, reflecting a 3.4% rise.

Japan continued to lead global investors with $1.126 trillion in holdings, followed by China ($784.3bn), the United Kingdom ($750.3bn), the Cayman Islands ($417.8bn), Luxembourg ($412.5bn) and Canada ($406.1bn). Other major holders include Belgium ($394.7bn), France ($354bn), Ireland ($339bn), Taiwan ($294.8bn) and Switzerland ($290.8bn).