UPDATE 1-Brazil's current account gap widens to $6.9 bln in April

martes 26 de mayo de 2015 10:15 GYT
 

(Adds details on investments, background)

BRASILIA May 26 (Reuters) - Brazil's current account deficit grew more than expected in April, exceeding the net inflow of investments from abroad into Latin America's largest economy, central bank data showed on Tuesday.

Brazil's current account gap widened to $6.901 billion last month, up from $5.736 billion in March and in line with market expectations, according to central bank data.

Direct investment in the country, which falls under the capital account in the balance of payments data, increased to $5.777 billion, up from $4.263 billion in March. Market expectations in a Reuters poll projected $4.3 billion in investments.

In the 12 months through April, the current account deficit was equivalent to 4.53 percent of Brazil's gross domestic product, nearly unchanged from the prior month.

In standard economic terms, the balance of payments' current account is a broad measure of a country's external transactions, including trade, services like tourism and insurance, profit remittances and interest payments.

Brazil's external gap has widened sharply in recent years as a drop in the value of major exports such as iron ore and soybeans pushed the trade balance into a deficit in 2014 for the first time in 14 years. (Reporting by Luciana Otoni; Writing by Silvio Cascione; Editing by W Simon)