Who are the largest holders of US Debt?

Most of the US debt is held by the US citizens only. Foreign holdings of US debt is only 30% of the total debt. China and Japan combine holdings is 50% of all foreign holdings which means 15% of total US debt is held by US. Here are the some of the largest holders of US debt:

1. Social Security Trust Fund

Holds total of $2.67 trillion debt which is 19% of the total debt.

The Old-Age and Survivors Insurance (OASI) and Disability Insurance (DI) Trust Funds invest exclusively in special issue bonds that are only available to the Social Security trust fund.  These are not publicly traded securities, but they still constitute a huge amount of debt.

2. The Federal Reserve

Holds total of $1.63 trillion of treasuries which is 11.3% of the total debt.

The Treasury owes the Fed $1.63 trillion in Treasuries, much of which were bought for the Quantitative Easing programs.

3. China

Holds $1.6 trillion of treasuries which is 8% of total debt.

China is the highest holder of US debt among the foreign buyers.

4. US Households

Holds total of $959.4 Billion of treasuries which is 6.6% of the total US debt.

Household sector includes Hedge funds too, so no surprise that the percentage holdings are high.

5. Japan

Holds $ 912.4 Billion of treasuries which is 6.4% of total US debt.

Japan happens to be the second highest holder of the US debt among the foreign holders.

6. State and Local Governments

Holds $506.1 Billion of US treasuries which is 3.5% of the total debt of the US.

7. Private Pension Funds

Holds $504.7 billion of US treasuries which is almost 3.5% of total debt.

8. United Kingdom

Holds $346.5 Billion of US treasuries which is 2.4% of total debt

UK is the third largest holder of US debt among foreign debt holders.

9. Money Market Mutual Funds

Holds $337.7 billions of US treasuries which is 2.4% of total debt.

10. State, Local and Federal retirement funds

Holds $320.9 Billion of US treasuries which is 2.2% of total debt. 

There are other holders of US treasuries including Commercial Banks, Mutual Funds, Oil Exporting companies, Brazil, Caribbean banking Centers, Hong Kong.

Hitesh Anand

I am a post graduate from Newcastle University, UK. I like studying and analyzing economic data and financial health of world.

You may also like...

Grab this FREE Forex Trading eBook
and much more..
We respect your privacy.
%d bloggers like this: