Weekly briefing - Aug 30, 2026 - Sep 6, 2026
Paraguay: budget, infrastructure, and institutional pressure
The main signals of the week in Paraguayan politics, the economy, production, and public services.
The Paraguayan week exposed the same challenge on different fronts: turning resources and plans into institutional capacity. The debate covered the deficit and Itaipu transfers, oversight of producers and lawmakers, police and airport expansion, and urban projects still dependent on execution, financing, and public control.
Politics: governability under pressure
The Chamber completed only eight of 41 sessions, reigniting debate over quorum and sanctions for absences. At the same time, rumors—with no formal proposal—of impeachment proceedings against Court ministers divided Colorados and mobilized victims of the “Mafia de los Pagarés.” In Asunción, Soledad Núñez presented a municipal platform focused on corruption, finances, and services.
- Soledad Núñez presents five strategies to reorganize Asunción City HallABC Color
- Paraguay’s Chamber of Deputies completes only 8 of 41 sessions and prepares penalties for absencesABC Color
- Rumors of impeachment proceedings against Supreme Court justices divide Colorados in ParaguayEl Nacional, ABC Color, El Observador
Economy: expansion with fiscal constraints
The 2027 budget bill combines spending of G. 166.3 trillion, a deficit of 3.9% of GDP, and expanded social programs, but promises to return to the 1.5% fiscal limit in 2028. Itaipu transferred US$310 million through August. While exporters absorb currency losses despite higher shipped volumes, the tax debate pits tax increases against fighting evasion and reviewing spending.
- Paraguay’s 2027 budget bill projects a 3.9% deficit and increased social-program fundingABC Color
- Itaipu transfers US$310 million to Paraguay in first eight months of 2026El Nacional, La Nacion
- Paraguayan exports rise 27% in volume, but exchange rates cut revenue by G. 15.45 trillionUltima Hora, El Nacional
Agriculture: scale, traceability, and value
Senave postponed until December 31 the traceability requirement for bananas, pineapples, melons, and papayas, allowing time for registration and training. Soybeans could reach 3.7 million hectares in 2026/27, but producers point to uncertainty over margins. Meanwhile, the government is seeking to expand organic agriculture, currently associated with 160,000 hectares and about US$40 million in annual exports.
- Senave postpones mandatory traceability for four fruits until December 31La Nacion
- APS projects 3.6 million to 3.7 million hectares of soybeans in Paraguay in 2026/27ABC Color, La Nacion, Ultima Hora
- Paraguay seeks to expand organic farming, which already exports $40 million a yearLa Nacion, El Nacional
Infrastructure: more connections, pending decisions
Silvio Pettirossi will continue operating for at least another four or five years while the government evaluates a new terminal estimated at more than US$320 million; Latam will increase frequencies and launch the Asunción–Montevideo route in 2027. In the capital, a US$100 million package for the Costanera Strip plans to relocate 550 families and integrate housing, resilience, and rail transport.
- Silvio Pettirossi to keep operating for up to five years as government weighs new terminalABC Color, La Nacion
- Latam to launch direct Asunción–Montevideo route in 2027 and expand flights in ParaguayUltima Hora, Hoy, 1000 Noticias
- Asunción plans to invest US$100 million in the Costanera and relocate 550 familiesUltima Hora
Security: enforcement and state capacity
An operation in Guarambaré seized more than 7,000 doses of cocaine and detained or identified 12 people in an investigation into street-level drug dealing and money laundering. The government projects increasing the National Police to 42,611 officers by December, but the minister himself acknowledges that a larger force does not eliminate the sense of insecurity. The expansion also revives debate over training and internal oversight.
- Operation in Guarambaré targets suspected drug-trafficking structure and seizes 7,000 cocaine dosesUltima Hora, La Nacion
- Paraguay’s National Police projects reaching 42,611 officers by December 20261000 Noticias, La Nacion, ABC Color
Society: social protection and community response
The 2027 budget provides US$564 million for the elderly program, with 30,000 new beneficiaries and around 100,000 people deferred until 2028. TECHO is seeking G. 1.55 billion to assist more than 500 vulnerable families, while a bill proposes US$20 million annually to professionalize and decentralize firefighters. In sports, Joshua Duerksen won the F2 sprint in Monza.
- Older Adults Program will cost US$564 million in 2027; 100,000 will enter only in 2028Hoy
- TECHO Paraguay seeks G. 1.55 billion to assist more than 500 vulnerable familiesEl Nacional, ABC Color
- Nakayama bill proposes $20 million annually to strengthen Paraguay’s firefighters1000 Noticias, ABC Color
- Joshua Duerksen wins F2 sprint at Monza after starting seventh and returns to the top1000 Noticias, ABC Color, El Nacional, Unicanal
Follow the links to distinguish announcements, proposals, and measures already being implemented—and see you in the next weekly briefing.