Dollars: the flood continues

Finance Minister Guido Mantega said a few days ago that the government will promote new actions to inhibit the inflow of dollars into the country. This warning is recurring, as is the ineffectiveness of the actions taken in recent years. In 2011, Brazil continues to receive a flood of dollars. In February, the Central Bank registered a net inflow of US$7,419 billion. In the first week of March, up to the 4th, the net inflow of dollars already reached US$1,424 billion. In the accumulated total for the year up to March 4th, the inflow of dollars already totals US$24,356 billion. This flow of the American currency, in less than three months, is already greater than the volume registered for the entire previous year, when the Central Bank reported a positive balance of US$24.354 billion.

The financial flow – which accounts for investments, profit remittances, loans, and other items not included in the trade balance – showed a positive balance of US$7,918 billion in February, resulting from inflows of US$32,125 billion and outflows of US$24,208 billion. The trade flow, on the other hand, closed last month with a negative balance of US$498 million, with exports of US$14,670 billion and imports of US$15,169 billion. In February of last year, which had 18 working days, the exchange rate flow was negative by US$399 million.

In just four days, the inflow of dollars into Brazil in March has already reached US$1,424 billion, according to the Central Bank. The financial flow showed a positive balance of US$2,081 billion during this period, resulting from inflows of US$6,411 billion and outflows of US$4,330 billion. The trade flow, on the other hand, is negative by US$657 million during the same period, with exports of US$3,261 billion and imports of US$3,918 billion. In March of last year, the flow was negative by US$838 million.