This paper studies the medium run prospects--that is, up to 2003--for Brazilian foreign indebtedness based on an analytical framework that calculates the current account balance required to stabilize the ratio foreign liabilities/exports. We show that, in the absence of a real exchange rate...

This paper studies the medium run prospects ? up to 2003 ? for Brazilian foreign liabilities based on an analytical framework that calculates the current account balance required to stabilize the ratio foreign liabilities/exports. We project the behavior of the main current account variables...