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China Overtakes Japan as Second-Largest Creditor Nation in 2025

China surpassed Japan to become the world’s second-largest creditor nation in 2025. Japan recorded a new high in overseas assets but still fell behind China in net creditor position.

Bloomberg
1 source·May 25, 11:50 PM(3 days ago)·1m read
China Overtakes Japan as Second-Largest Creditor Nation in 2025citizen.co.za
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China became the world’s second-largest creditor nation in 2025, displacing Japan from that ranking. Japan simultaneously reached a record level of overseas assets during the same year.

The shift occurred even as Japan’s total foreign holdings increased to an all-time high. No additional figures on the size of the asset gap or the composition of holdings were provided. The change reflects updated international investment position statistics released for calendar year 2025.

Key Facts

China
second-largest creditor nation in 2025
Japan
fell to third place despite record overseas assets
2025
year the ranking change occurred

Potential Impact

  1. 01

    Updated creditor rankings may influence perceptions of each country’s external financial strength.

Transparency Panel

Sources cross-referenced1
Confidence score65%
Synthesized bySubstrate AI
Word count75 words
PublishedMay 25, 2026, 11:50 PM
Bias signals removed1 across 1 outlet
Signal Breakdown
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