BRAZIL: Current Account Posts US$ 3.404 Billion Deficit In July

(RTTNews) - Brazil posted US$ 3.404 billion in current account deficit in July, after four months with a positive balance. In June, the Brazilian current account had recorded a US$ 1.330 billion surplus. July's deficit, however, is 13.8% lower than that recorded a year ago (US$ 3.951 billion), according to data released by the Brazilian central bank.

Year-to-date, the Brazilian current account posted a negative balance of US$ 2.666 billion, 78.3% lower than the US$ 12.438 billion deficit recorded in the first seven months of 2016. In 12 months, the current account deficit reaches US$ 13.788 billion, or 0.71% of the Gross Domestic Product (GDP).

The current account includes trade balance figures, services exchanged between Brazil and other countries, remittances and incomes and transfers of capital.

Meanwhile, Brazil's balance of payments recorded a US$ 1.661 billion surplus in July, from US$ 520 million in June, but remaining 65.5% below the US$ 4.821 billion surplus in July 2016.

Direct investment in Brazil totaled US$ 4.093 billion in July, from US$ 209 million a year ago. Year-to-date, direct investment in Brazil grew 18.5%, to US$ 40.364 billion, compared to US$ 34.047 billion of in the same period of 2016.

Meanwhile, international reserves totaled US$ 381 billion in July.