After years of steady macroeconomic management and strong agricultural exports, Paraguay has an opportunity to move from stability to transformation. File Photo by Giuseppe Lami/EPA
May 28 (UPI) -- Paraguay has entered a new economic moment. After years of steady macroeconomic management and strong agricultural exports, the country now has an opportunity to move from stability to transformation.
The challenge is no longer simply to prove that Paraguay is fiscally responsible. It has largely done that. The deeper challenge is to convert macroeconomic credibility into cheaper financing for companies and faster gains in income.
The country's current position is unusually favorable by regional standards. The Central Bank of Paraguay projects economic growth of 4.2% in 2026, while International Monetary Fund estimates are close to 3.8%. Both figures place Paraguay well above the expected Latin American average.
That growth rests on solid foundations. Paraguay has a young population, a strategic location at the heart of Mercosur and real strength in agro-exports. Soybeans, beef and electricity have made it an increasingly important player in global commodity markets.
