Construction employed more than 262,000 people in Paraguay in the second quarter of 2026, with year-on-year growth of 9.1%—the highest among the economy’s sectors during the period. The figure represents 8% of the country’s employed population, above the historical average of 7.8%.
The data are part of the Economic Activity Report on Construction – August 2026, prepared by the Economic Studies Center of the Paraguayan Chamber of the Construction Industry (CEEC-Capaco). The report also points to a 17.6% increase in the sector’s workers’ average income, which reached 3.5 million guaranis per month.
Employment performance, however, is taking place amid pressure on public investment execution. Under Budget Item 520, which covers the Central Administration’s public works, 51.7% of the allocated funds had been executed: US$359 million. Between January and July, the average disbursement was US$51 million per month.
To spend the US$336 million still available by the end of the year, the state would need to raise that pace to US$67 million per month—US$16 million above the average recorded during the period analyzed. The calculation indicates that job creation depends not only on the existence of projects, but also on the ability to tender, finance and carry them out within the budget calendar.
Considering all public works included in the 2026 National General Budget, execution reached 34.5% in the first week of August, or US$442 million out of a total of US$1.281 billion. US$840 million remained, and the pace of execution would have to be 2.7 times higher than the monthly average observed up to that point, US$63 million.
Capaco argues that the sector’s expansion boosts consumption and economic activity, but calls for more predictable financial planning to sustain tenders and infrastructure investment. The figures presented are an analysis by the business association’s own research center; actual progress will depend on public disbursements and the completion of projects during the remaining months of 2026.