Brazil: Current account deficit narrows in May
June 24, 2015
In May, the current account balance registered a deficit of USD 3.4 billion, which was an improvement from the USD 7.9 billion deficit recorded in the same month last year. The gap was narrower than market expectations of a USD 4.7 billion deficit.
The trade balance registered a surplus of USD 2.8 billion in May, which was notably above April’s USD 500 million surplus and the USD 700 million surplus recorded in May 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 95.7 billion in May, which was an improvement over April’s USD 100.2 billion. May’s figure is equivalent to approximately 4.4% of GDP.