Colombia

Paraguay recorded deflation of 0.3% in June, reducing its annual inflation rate to 2.1%, the second lowest in the region, behind only Ecuador.

In 2026, Paraguay's apparent labor productivity was US$13,728 per person, placing it below eight Latin American countries, including Brazil, Chile, and Uruguay, and surpassing only Bolivia.

Paraguay ended May with the third-lowest country risk in Latin America and the Caribbean, with an EMBI of 104 basis points, trailing only Uruguay (61 points) and Chile (86 points), according to data from Bloomberg Línea based on the index compiled by J.P. Morgan.

Delegations from Mercosur countries and associates met in Asunción to discuss updating travel documents, information exchange, and document security, with Bolivia absent.

Paraguayan and Ecuadorian authorities carried out operations to rescue minors living on the streets and victims of exploitation. In Paraguay, 42 children and adolescents were taken off the streets in Ciudad del Este. In Ecuador, six foreign minors were rescued from a trafficking network linked to the Lev Tahor sect.

The National Police Investigations Department arrested a group suspected of targeting victims at airports and shopping malls to steal high-value watches. Among the cases attributed to the gang is the attack on former senator Armando Espínola. A Venezuelan national and several Paraguayans were detained, and vehicles used in the crimes were seized.

On the fourth anniversary of the murder of prosecutor Marcelo Pecci, his brother Francisco harshly criticized the lack of results from investigations in Paraguay, pointing to failures in the administrations of Sandra Quiñónez and Emiliano Rolón, and warned that the country risks becoming a 'narco-nation'.

On May 30, Palma Street in Asunción will host the second edition of the Palmear Sin Fronteras Fair, bringing together 16 immigrant communities with typical cuisine, artistic performances, and traditional dances in a day of multicultural integration.

InSight Crime data shows an 82.6% drop in cocaine seizures in Paraguay in 2025, indicating the country is no longer a central corridor for trafficking to Europe, following enhanced controls and international cooperation.

Diego Garzón, from Colombia's Ministry of Labor, argued that Paraguay should invest in technical training in areas such as data mining and engineering to absorb the demand for new jobs generated by artificial intelligence. The warning comes after the announcement of an AI center in partnership with Taiwan, which drew criticism over the lack of specialized professionals in the country.

A survey by the InSight Crime foundation shows that Paraguay is no longer the central corridor for drug trafficking it was three years ago. With stricter controls and inter-institutional surveillance, cocaine seizures fell from 5.4 tons in 2024 to about 1 ton in 2025, consolidating the country as a hostile environment for criminal logistics.