Foreign Currency: Brazil Ended 2008 in the Red

Dollars pile The green influx of dollars in Brazil has decreased quite a bit. After five years back to back of foreign currency surpluses, more dollars left Brazil than entered last year. The deficit was US$ 983 million last year, according to figures disclosed January 7 by the Brazilian Central Bank (BC).

While the trade exchange, which totals all foreign trade figures, resulted in a surplus of US$ 47.9 billion in the accumulated result for the year, the financial account, which includes operations with capital and services, resulted in a deficit of US$ 48.883 billion.

Although 2008 was a year in which the trade balance result (exports minus imports) was much lower than in 2007, the financial movement of capitals for payment of interest and profit transfer abroad was greater than in the previous year.

Up to September last year, the foreign currency was favorable for Brazil, although at lower rates than in 2007, when the volume of foreign direct investment was registered and the country had a surplus of US$ 87.454 billion.

After the fourth largest investment bank in the United States, Lehman Brothers, filed for chapter 11 bankruptcy and the international crisis worsened, the flow of funds was changed, with foreign investors turning their funds here to covering losses abroad, mainly in the United States, the European Union and Japan.

Due to this, the last three months of the year generated great negative balances: US$ 4.639 billion in October, US$ 7.159 billion in November and US$ 6.373 billion in December.

ABr

Tags:

Ads

You May Also Like

Brazilian astronaut Pontes between Lula and Putin

Russia and Brazil Engaged. Lots of Plans on Earth and Out of Space.

Russians and Brazilians get closer after the meeting of the two presidents. A big ...

Identification of Bodies from Crashed Boeing in Brazil May Take Two Years

The bodies of the victims of the Boeing 737-800 that fell in the Brazilian ...

Brazilian Leather Exporters Complain About High Taxes

Brazilian leather exports to Tunisia presented a great leap in the first half of ...

Beer Makers in Brazil Busted for Half a Billion Tax Fraud

The tax embezzlement scheme allegedly practiced by the Schincariol beverage company may have diverted ...

Brazilian Ranchers Charged with Destroying Habitat of Uncontacted Tribe

According to Survival International, a group dedicated to the preservation of tribal life, the ...

Brazilian Guinea Pigs Got US$ 5 to Be Bitten by 100 Mosquitoes a Day

Brazilian Senator Cristovam Buarque (PDT party, Federal District), president of the Senate Human Rights ...

Honda Introduces This Year in Brazil New Flexible Fuel Vehicle

Honda announced today that it has developed a new flexible fuel vehicle (FFV) system ...

Those Words Those Eyes

Capitu has been portrayed as a woman with “a gypsy’s eyes, oblique and sly.” ...

Prowling in Rio

Those women dressed in tight clothes are now sambaing, vigorously. The whole place has ...