Brazil Current Account

Brazil’s current account deficit narrowed sharply to $3.4 billion in December 2025, from a $10.2 billion shortfall a year earlier and well below market expectations of a $5.3 billion deficit. The improvement was driven by a stronger goods trade balance, which posted an $8.8 billion surplus, up from $4.1 billion in December 2024. Goods exports rose 24.3% year-on-year to $31.2 billion, while imports increased 6.7% to $22.4 billion. The services account deficit declined 23.2% to $3.8 billion, compared with $5.0 billion a year earlier. The primary income deficit narrowed 8.4% to $9.2 billion, while the secondary income account recorded a larger surplus, rising by $176 million year-on-year. For full-year 2025, Brazil’s current account deficit reached $68.8 billion, equivalent to 3.02% of GDP, slightly wider in nominal terms than the $66.2 billion deficit (3.03% of GDP) recorded in 2024.