Alonso Soto and Tiago Pariz – Reuters, 07/24/2012
BRASILIA, July 24 (Reuters) – A rebound in Brazil’s foreign direct investment in June fully covered a widening current account deficit, central bank data showed on Tuesday, underscoring the resilience of foreign investment even as the international and local economy slow sharply.
Brazil posted a current account deficit of $4.419 billion in June, slightly above market analysts median forecast of $4.8 billion. The figure also surpassed the $3.47 billion gap posted in May.
The current account is a broad measure of a country’s foreign transactions, including trade in goods and services, interest payments, and profits and worker remittances.
[...] in the second half of the year. The Brazilian economy is also buoyed by foreign investment, which continues to increase despite the slowdown, increased interest from venture capital firms, not to mention the profits [...]