Brazil’s External Balances Worsen Despite Strong Export Performance

INSUBCONTINENT EXCLUSIVE:
Exports grew 5.5% to $29.18 billion, driven by a 10.1% jump in manufactured goods and a 16% surge in agricultural shipments.Imports
increased 2.6%, led by manufacturing and agricultural goods
quarter, FDI inflows failed to fully offset the current account gap, highlighting a shift from previous years when foreign capital
(Photo Internet reproduction)Official projections for 2025 expect the current account deficit to reach $62 billion, or 2.8% of GDP
This outlook factors in slower export growth, rising imports of capital and intermediate goods, and a larger services deficit.The Central
Bank anticipates FDI inflows of $70 billion, but notes increased risks from global trade tensions and softer commodity prices
account deficit signals a more fragile external position