RIO DE JANEIRO, BRAZIL – Brazilian spending on overseas travel increased in July. Last month, expenses totaled US$1.898 billion (R$7.592 billion), up 9.64 percent over the same month in 2018 (US$1.731 billion).
This is the highest figure for the month since July 2014 (US$2.408 billion). The data were released today, August 26th by the Central Bank (BC).
According to the head of the Central Bank’s Statistics Department, Fernando Rocha, the cheaper dollar has stimulated international travel in recent months. He noted that the average exchange rate was R$4 in May, fell to R$3.86 in June and R$3.75 in July. In August it is expected that the increase in spending “may be reversed”.
This month’s preliminary data show that expenses reached US$992 million, while foreign revenues in Brazil stood at US$314 million, by August 22nd.
Over the seven months in the year, spending on foreign travel is lower. In this period, expenses reached US$10.705 billion, a 5.3 percent drop in comparison to the same period last year.
Revenue from foreign visitors to Brazil reached US$598 million last month and US$3.674 billion over seven months, an increase of 43.41 percent and 0.46 percent, respectively, against the same periods in 2018. As a result, the travel account, comprising expenses and revenues, closed negative in July at US$1.3 billion and in the seven months of the year with a deficit of US$7.030 billion.