Brazil: Current account deficit narrows in June
July 23, 2015
In June, the current account balance registered a deficit of USD 2.5 billion, which was an improvement from the USD 5.1 billion deficit recorded in the same month last year. However, the gap was wider than market expectations of a USD 2.1 billion deficit.
The trade balance registered a surplus of USD 4.5 billion in June, which was notably above May’s 2.8 billion surplus and the USD 2.3 billion surplus recorded in June 2014. Brazil tallied a trade deficit in 2014 for the first time in 14 years on the back of a sharp decline in the value of key exports.
The moving 12-month current account deficit recorded USD 93.1 billion in June, which was an improvement over May’s USD 95.6 billion deficit. June’s figure is equivalent to approximately 4.4% of GDP.