For the second-straight month, India trimmed its holdings of American government securities to $117.2 billion in June.
Neighbouring China, which is the largest holder of such securities, too cut down its exposure to $1.241 trillion during the same period from $1.244 trillion in May.
Latest data from the US Treasury Department showed that India’s holdings fell to $117.2 billion in June from $118 billion in the previous month.
At the end of April, India held American government bonds worth $121.6 billion.
Among the BRIC nations, India has the third largest holding of these securities after China and Brazil, whose exposure stood at $251.6 billion in June.
During the same time, Russia’s holding touched $90.9 billion.
The second largest holder of US government securities is Japan whose exposure rose to $1.148 trillion at June end.
In May, the same stood at $1.133 trillion.
“Foreign residents increased their holdings of long-term US securities in June; net purchases were $7.6 billion.
Net purchases by private foreign investors were $36 billion, while net sales by foreign official institutions were $28.4 billion,” the Treasury Department said last week.
Overall, net foreign sales of long-term securities are estimated to have been $38.9 billion in June, it had said in a release.
In the three months ended June, American economy expanded 1.2% whereas in the first quarter real GDP rose 0.8%.
Sourced from PTI, Featured image courtesy: www.reference.com
