The US national debt is known to be the largest in the world. At the moment, in monetary terms, it is about 24.7 trillion. dollars or about 108% of the country’s GDP. What is included in this amount?
The US government debt includes 4 types of debt securities, which are issued by the Bureau of Public Debt, which is part of the country’s Federal Treasury. They differ in the type of the security itself, its duration and the level of profitability:
- Treasury bills – validity less than 1 year, minimum yield – tenths or hundredths of a percent.
- Medium-term bonds – validity period 1-10 years, yield 0.3-2.6% per annum.
- Long-term bonds – validity 10-30 years, yield 3.2% per annum.
- Long-term bonds – validity period of 30 years, yield 3.2% per annum + guarantee of additional payments to compensate for inflation.
All of these securities are collectively referred to as US Treasuries or “Treasuries” in Russian.
The Treasury includes both external and internal US national debt. And if we consider its structure, then it will be as follows:
30% – domestic debt, holders are US state companies;
37% – domestic debt, holders are individuals, private companies, investment funds, banks;
33% – external debt, holders are individuals, companies, states.
In the structure of the US external public debt, the largest creditors are China and Japan – each of these states account for about 19% of US external debt. The following countries occupy 5% or less in this structure.