icon bookmark-bicon bookmarkicon cameraicon checkicon chevron downicon chevron lefticon chevron righticon chevron upicon closeicon v-compressicon downloadicon editicon v-expandicon fbicon fileicon filtericon flag ruicon full chevron downicon full chevron lefticon full chevron righticon full chevron upicon gpicon insicon mailicon moveicon-musicicon mutedicon nomutedicon okicon v-pauseicon v-playicon searchicon shareicon sign inicon sign upicon stepbackicon stepforicon swipe downicon tagicon tagsicon tgicon trashicon twicon vkicon yticon wticon fm
16 Mar, 2023 16:09

China dumping American debt – US Treasury data

Beijing’s holdings of securities have dropped to their lowest since May 2009
China dumping American debt – US Treasury data

China has continued to slash its holdings of US treasury securities amid the growing threat of economic sanctions from Washington, according to data released by the US Treasury on Wednesday. The figures show that Beijing's holdings slid to $859.4 billion in January from $867.1 billion in December.

The decline in January was more than double the $3.1 billion cut the month before, though less than the $7.8 billion reduction in November.

China is the second largest foreign holder of US government debt but has reduced its holdings for six consecutive months, with the figure dropping below the symbolic $1 trillion mark in April 2022.

The decrease comes amid Beijing’s efforts to diversify its portfolio and reduce dependence on the US dollar while promoting broader international use of the Chinese yuan amid the threat of sanctions, the South China Morning Post reports.

China has already trimmed its holdings by 34.1% over the past ten years, including a 16.6% cut in 2022 based on US data, deputy director of the Department of International Finance at the Institute of Finance and Banking Zhang Ming told the SCMP.

For more stories on economy & finance visit RT's business section

Podcasts
0:00
25:53
0:00
28:57