Russia will likely continue lowering its U.S. debt holdings as Washington struggles to contain a budget deficit and bolster a tepid economic recovery, a top aide to President Dmitry Medvedev said Saturday.
"The share of our portfolio in U.S. instruments has gone down and probably will go down further," Arkady Dvorkovich, chief economic aide to the president said.
Russian holdings of U.S. Treasury securities fell to $125.4 billion in April 2011 from $176.3 billion in October 2010, Treasury Department data showed.
Russia's financial reserves -- which stood at $528 billion as of June 10 -- are the world's third largest, after China and Japan's. As of May, according to Russia's central bank, 47% of reserves were in dollars and 41% in euros, compared with 45.2% in dollars and 43.1% in euros on Jan. 1. WSJ