Home Brazil Current account deficit: US$5.1 billion in January. Foreign Direct Investiment net...

Current account deficit: US$5.1 billion in January. Foreign Direct Investiment net inflow: $11.5 bi.

697
0
SHARE

Brazil’s Central Bank released on Friday (17) data on the country’s Balance of payments – January 2017. Current Account transactions were negative in US $ 5.1 billion, totaling a deficit of US $ 23.8 billion in twelve months (1.3% of GDP).  In the same period, net inflows in direct investment in the country totaled US $ 85.0 billion, equivalent to 4.66% of GDP.

The Services Account registered a deficit of US $ 2.4 billion in the month, an increase of 74.9% compared to January 2016. Net deficit on international travel expenses totaled US $ 914 million, an increase of US $ 724 million in relation to Jan. 2016. The equipment rental account recorded net expenses of US $ 1.7 billion in January, stable compared to the corresponding month of 2016. Net transportation expenses reached US $ 436 million, an increase of US $ 261 million compared to the same month of last year.

Net primary income expenses reached US $ 5.3 billion in the month, an increase of 23.7% compared to the same period of the previous year, with net investment portfolio expenses of US $ 4.0 billion. Net expenses on profits and dividends totaled US $ 870 million, an increase of 177.5% over the corresponding month of 2016. Net interest expenses reached US $ 4.5 billion, of which US $ 2.7 billion related to securities traded in the Domestic market. Compared to January 2016, net interest expense increased 11.7%.