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Canada increased holdings of U.S. debt by 27% last year
(www.visualcapitalist.com)
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You may be misunderstanding the data. This isn't government holdings of treasuries. It's public and private holdings, so it includes both the BoC holdings and the holdings of private investors. The government's holdings at the BoC stayed pretty much the same over the year. The increase basically all comes from private investors, and the government can't choose to sell their treasuries.