Brazil: Current account gap continues to widen in April
May 24, 2012
In April, the current account balance incurred a deficit of USD 5.4 billion, which was larger than the USD 3.3 billion shortfall registered in March. Moreover, the result exceeded market expectations, which had the current account deficit widening to USD 4.0 billion. The April print was mainly influenced by a lower trade surplus, which fell from USD 2.0 billion in March to USD 882 million in April. In addition, the services and income account has also deteriorated and dropped from a shortfall of USD 5.6 billion to a deficit of USD 6.4 billion. The moving 12-month current account deficit widened from USD 49.8 billion in March to USD 51.6 billion in April (approximately 2.0% of GDP).