THE ROLE OF FOREIGN INVESTORS IN THE IMPLEMENTATION OF THE US DEBT POLICY
Subject / Topic The United States can be characterized by the concentration of a significant part of government debt in the hands of foreign investors. The main holders of US Treasury securities are Japan and China. Russia is not among the thirty largest holders of public debt. In conditions of the growing crisis caused by the coronavirus pandemic, sales of treasury bonds by foreign investors have increased. Their profitability is falling. The practicability of strengthening profit control by the US Federal Reserve of treasury bonds is considered as a measure of support for the US economy. Goals / Objectives The purpose of the study is to determine the role of foreign investors in the implementation of the financial policy of the Fed. Methodology When writing the work, general and special research methods were used, including analysis, synthesis and generalization. Conclusion and Relevance Currently significant changes are taking place in the US debt market. Japan has returned the status of the largest foreign holder of US Treasury securities. The decrease in the Treasury portfolio of China is caused by trade disputes between the US and China. China’s debt portfolio decrease comes against the background of the emergence of new foreign buyers of American securities, among which offshore financial centers are very active. The fall of the profitability of treasury bonds does not affect the confidence of foreign investors in the reliability of US debt. In conditions of strengthening crisis, we can expect the continuation of the Fed policy to resume monetary stimulus and tighten control by the financial regulator for profitability of treasury bonds.