Brazil's current account deficit widened to a USD 9.04 billion in July 2019 from USD 4.40 billion in the same month of the previous year and compared with market forecasts of a USD 5.903 billion gap. It was the largest current account shortfall since January 2015, as the goods surplus narrowed to USD 1.60 billion from USD 3.55 billion a year earlier, as exports fell 11.1 percent while imports declined a softer 2.9 percent. Also, the primary income gap rose to USD 7.93 billion from USD 5.12 billion. On the other hand, the services shortfall declined to USD 2.96 billion from USD 3.01 billion in July 2018 and the secondary income surplus went up to USD 0.25 billion from USD 0.19 billion. Considering the first seven months of the year, the country recorded a USD 21.68 billion current account deficit, compared to a USD 4.40 billion gap in the corresponding period of last year. Current Account in Brazil averaged -1675.47 USD Million from 1980 until 2019, reaching an all time high of 3104.70 USD Million in May of 2017 and a record low of -13345 USD Million in January of 2014.
Current Account in Brazil is expected to be -200.00 USD Million by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Current Account in Brazil to stand at 450.00 in 12 months time. In the long-term, the Brazil Current Account is projected to trend around -2800.00 USD Million in 2020, according to our econometric models.