(Recast, adds detail of 12-month deficit and FDI)
BRASILIA Oct 24 Brazil's current account
deficit widened sharply in September, central bank data showed
on Friday, reaching its largest 12-month gap in more than a
decade as the country's trade balance suffers from lower
Brazil posted a current account deficit of
$7.907 billion in September, its largest this year and above
market expectations for a gap of $7.250 billion, according to
the median forecast of 19 analysts in a Reuters poll. Brazil's
current account deficit in September of last year was $2.764
In the last 12 months through September, the current account
deficit was equivalent to 3.70 percent of gross domestic
product, its biggest gap since February of 2002.
The widening deficit threatens to surpass the central bank
estimate for a $80 billion shortfall this year. So far in 2014
Brazil has averaged a monthly deficit of $7 billion.
On the other hand, foreign direct investment (FDI) has
remained robust, but not enough to cover the current account
deficit. So far this year, Brazil has attracted $46.215 billion
in foreign direct investment while its current account deficit
shot up to $62.730 billion.
In September, the country saw FDI inflows of $4.214 billion,
above market expectations for $3.450 billion.
(Reporting by Alonso Soto and Luciana Otoni Editing by W Simon
and Chizu Nomiyama)