India’s exposure to US securities touch a high of $124 billion
India increases its holding of American government securities to $124.1 billion at the end of April
Washington: India increased its holding of American government securities to $124.1 billion at the end of April. This is also the highest level since July 2016 when the exposure stood at $123.7 billion. At the end of April, Japan had the maximum holding of $1.106 trillion, followed by China with $1.092 trillion.
The latest data available with the US Treasury Department show that India’s exposure jumped by $7 billion to $124.1 billion in April. The country had holding to the tune of $117.1 billion in March. Among the BRIC nations, India had the third largest exposure to the US government securities after China and Brazil. Brazil’s exposure stood at $267.7 billion in April.
During the same period, Russia’s holding of the securities rose to $104.9 billion. In a release earlier this month, the Treasury Department said foreign residents increased their holdings of US Treasury bills by $7.2 billion in April.
“Foreign resident holdings of all dollar-denominated short-term US securities and other custody liabilities increased by $26 billion," it added. India has hiked its exposure to the securities amid the US economy seeing relatively better economic growth trends.
“Real gross domestic product (GDP) increased at an annual rate of 1.2% in the first quarter of 2017," as per the latest estimate from the Bureau of Economic Analysis that was released last month.
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