Brazil: Current account deficit narrows in August
Brazil’s current account recorded a USD 0.8 billion deficit in August, improving from both the USD 7.0 billion shortfall posted in August 2022 and the USD 4.0 billion deficit tallied in the prior month.
In August, the services account posted a smaller deficit compared to August 2022. Moreover, the goods trade surplus widened to USD 7.6 billion from USD 2.6 billion in the same month last year. Lastly, net foreign investment was positive in August but lower than in the same month last year, totaling USD 4.3 billion (August 2022: USD +10.0 billion).
Meanwhile, the 12-month sum of the current account balance narrowed to a USD 45.3 billion shortfall in August from the USD 53.6 billion deficit clocked in August 2022. This was equivalent to approximately 2.2% of GDP (August 2022: approximately 2.9% of GDP).