Brasília – Brazil’s current account deficit, i.e. the sum of goods and services purchased and sold with the rest of the world, was BRL 4.166 billion in October, the Central Bank reported this Thursday (26th). Year-to-date through October, the deficit was USD 53.474 billion. The deficit was BRL 9.316 billion as of October 2014, and USD 83.379 billion in the ten-month period leading up to October.
Last month, the services account (international travel, transportation, equipment rental, insurance etc.) weighed down on the result, with a USD 2.799 billion deficit. The primary income result (profit and dividends, payment of interest and wages) showed a USD 3.523 billion deficit.
Whenever a country incurs a current account deficit, meaning spending outpaced revenue, the result must be offset by foreign investment or loans taken out abroad.
*Translated by Gabriel Pomerancblum
