Saudi investments in US securities have recorded remarkable growth, with the Kingdom’s holdings of US Treasury bonds rising to $134.4 billion by the end of October 2025, an increase of $122 million compared to their levels in September of last year.
This increase reflects the Saudi Central Bank’s (SAMA) strategy of diversifying foreign assets and maintaining high liquidity levels, as Saudi Arabia maintained its 18th place ranking globally among the largest holders of US bonds, according to the latest data issued by the US Treasury Department.
Distribution of investments between long and short term
Detailed data revealed that the Saudi investment portfolio in US Treasury securities was characterized by careful diversification during October. Long-term bonds short-term bonds amounted to about $28 billion, constituting 21% of the total.
The economic context and the importance of US bonds
US Treasury bonds are considered one of the safest and most liquid financial assets in the world, and countries, including Saudi Arabia, invest in them as a key part of managing their foreign reserves. This is particularly important given the Saudi riyal's peg to the US dollar, as these holdings help strengthen monetary stability and support the fixed exchange rate policy, thus providing a stable economic environment that is attractive to foreign investment.
These moves come at a time of economic volatility in global markets, prompting central banks worldwide to balance returns and risks. Saudi Arabia's continued increase in its bond holdings underscores the Kingdom's strong financial position and its ability to manage its financial surpluses efficiently, in line with the goals of Vision 2030, which aims to enhance fiscal sustainability.
Global landscape and country rankings
Globally, Japan remained the largest holder of US Treasury bonds in October, with holdings of approximately $1.2 trillion, reflecting the depth of economic ties between Tokyo and Washington. The United Kingdom came in second with holdings valued at $877.9 billion, while China and other countries continue to monitor the US economic landscape to determine their future investment strategies in US debt instruments.
