Smart money moves: Kuwait’s holdings of US Treasury Bonds hit record $66 billion

Official data released by the United States Department of the Treasury showed that Kuwait’s holdings of US Treasury bonds climbed to a record high of $66.05 billion by the end of December 2025, compared with $50.34 billion at the end of December 2024.

The increase represents a rise of 31.2 percent, equivalent to $15.71 billion year-on-year.

On a monthly basis, Kuwait expanded its holdings by $1.2 billion in December alone, up from $64.84 billion recorded at the end of November, reflecting a growth rate of 1.9 percent.

According to the data, Kuwait’s investments consist of $63.1 billion in long-term Treasury securities and $2.95 billion in short-term securities. The figures indicate active portfolio management by Kuwaiti investors, who adjusted holdings throughout the year in response to fluctuations in US bond yields, reports Al-Anba daily.

Gulf investments in US Treasuries

Among Gulf countries, Saudi Arabia increased its holdings to $149.5 billion, compared with $137.5 billion at the end of December 2014, marking an increase of 8.75 percent, or $12.04 billion. These holdings included $107.1 billion in long-term securities and $42.45 billion in short-term securities.

Meanwhile, the United Arab Emirates raised its investments to $95.58 billion, up from $77.08 billion during the same comparison period, representing a 24 percent increase, or $18.5 billion. The UAE’s portfolio comprised $43.12 billion in long-term securities and $52.45 billion in short-term securities.

Global rankings of Treasury holders

Globally, Japan retained its position as the largest foreign holder of US Treasury securities, with investments reaching $1.18 trillion, compared with $1.06 trillion in December 2024 — an increase of $124 billion, or 11.7 percent.

The United Kingdom ranked second, holding $866 billion in US Treasuries, up from $722.8 billion a year earlier, reflecting growth of $143.2 billion or 19.8 percent.

China came third, with holdings totaling $683.5 billion by the end of 2025, down from $759 billion in December 2024 — a decline of $75.5 billion, or 9.9 percent.

Foreign holdings continue to grow

Overall foreign investments in US Treasury securities rose during 2025 to $9.27 trillion, compared with $8.62 trillion at the end of 2024. This represents an increase of $651.6 billion, or 7.5 percent, highlighting continued global demand for US government debt instruments.