Brasília – The volume of foreign direct investment (FDI) in Brazil, US$ 48.462 billion in 2010, is the largest since the figure started being recorded, in 1947. The volume was enough to cover the deficit of current account transactions, which totalled US$ 47.518 billion in the year. In December alone, according to the Central Bank, the financial account presented inflow of US$ 6.4 billion, with special attention to foreign direct investment of US$ 15.364 billion, also the highest in the historic series for months of December.
Part of the result is due to operations expected for early 2011, but to be materialized in 2010. Of this total, US$ 15.364 billion, approximately US$ 7.1 billion were included in the sale of capital by company Repsol to the Chinese Sinopec, according to the head of the Economic Department at the Central Bank, Altamir Lopes.
"This operation brought an expressive volume of funds. Even excluding this operation, there was a significant volume of foreign direct investment, which flowed well during the year," he said.
Other sectors that contributed to the elevation of foreign direct investment were ore extraction, which received US$ 1 billion, and metallurgy, with US$ 1 billion.
"Throughout the year, we had certain concentration in oil and gas, the petrochemical sector and metal ore extraction, but in the latter part, the flow was much diversified," said Altamir Lopes.
He pointed out that Central Bank expectations were for a volume of US$ 38 billion in foreign direct investment. The figures, however, were US$ 10 billion above this estimate.
For 2011, expectations are for foreign direct investment to total US$ 45 billion with a current account transaction deficit of US$ 64 billion. Expectations for January are for FDI to total US$ 2 billion and for the current account transaction deficit to reach US$ 5.5 billion.
Altamir Lopes also announced that the inflow of foreign currency into the country should still be significant in 2011. According to his evaluations, the foreign exchange flow up to the 21st was US$ 9.2 billion positive.
*Translated by Mark Ament
