Brazil: Current account gap widens in March
April 24, 2012
In March, the current account balance incurred a deficit of USD 3.3 billion, which was larger than the USD 1.7 billion shortfall registered in February. The result, however, came short of market expectations, which had the current account deficit widening to USD 4.0 billion. The March print was mainly influenced by a deterioration in the services and income account, which dropped from a deficit of USD 3.6 billion in February to a shortfall of USD 5.6 billion in March. In addition, the trade balance remained in the black, with the surplus rising from USD 1.7 billion in February to USD 2.0 billion in March. The moving 12-month current account deficit narrowed from USD 52.2 billion in February to USD 49.8 billion in March (approximately 2.0% of GDP).