Foreign Investors Hold a Significant Share
The United States national debt has surpassed $40 trillion, and foreign investors remain important buyers of Treasury securities. Visual Capitalist ranks the 20 largest foreign holders using June 2026 data from the U.S. Treasury Department. Together, those jurisdictions hold nearly one-fifth of the country’s total debt.
Treasury securities allow the federal government to borrow while providing investors with liquid dollar-denominated assets. Their broad use also reflects the dollar’s central position in international finance. However, the ranking shows that foreign ownership is distributed across governments, investors and major financial centers.
Japan Leads as China Continues to Retreat
At the top, Japan is the largest foreign holder, with approximately $1.1 trillion in U.S. Treasuries. The United Kingdom follows with about $940 billion after moving ahead of China in early 2025. These two countries therefore occupy the first and second positions in the June 2026 ranking.
China now ranks third with $633 billion. Its holdings are roughly half the level reached during their 2013-2014 peak. The decline represents a major change because China was previously the largest foreign owner of U.S. government debt.
Despite China’s retreat, the three leading countries still hold a considerable portion of foreign-owned Treasuries. Their positions also illustrate how the ranking has changed over time. Japan has remained at the top, while the United Kingdom has expanded and China has reduced its reported exposure.
Financial Centers Complicate the Country Ranking
Several smaller jurisdictions appear near the top because they serve as international custody and investment centers. Belgium holds $483 billion, the Cayman Islands $453 billion and Luxembourg $434 billion in reported Treasury securities. Canada is another major holder, with approximately $460 billion.
Still, these totals do not always identify the ultimate owner of every security. Treasury data records the jurisdiction where assets are held in custody, which can differ from the investor’s home country. Therefore, a high ranking for a financial hub may reflect securities managed for clients located elsewhere.
Overall, the visualization presents foreign demand as both geographically broad and concentrated among a few large holders. It also shows why national rankings require careful interpretation. The figures measure reported custody locations, while the economic ownership behind some holdings may cross several borders.
References
Cohen, G. (2026, 26 agosto). Ranked: Which countries hold the most U.S. debt? Visual Capitalist. https://www.visualcapitalist.com/ranked-the-largest-foreign-holders-of-us-debt/