The flow of foreign investments in Paraguay continues to be predominantly low-scale, with projects ranging between $10 million and $50 million, according to analysis by economist Jorge Garicoche. The sectors that attract the most capital are plastics and textiles, driven by the search for competitiveness through industrial integration, with a strong presence of companies under the maquila regime.
Garicoche, manager of the Economics Unit at consulting firm Mentu, argues that the country has favorable regulatory conditions but needs to advance in offering greater predictability to attract larger-scale investments. He highlighted the need for clear and stable rules in infrastructure, energy, and public policies, since investment decisions often have planning horizons of up to 20 years. "Regardless of what the policy is, the important thing is that it is stable, credible, and reliable," he stated.
The main challenge, according to the economist, is consolidating an environment that allows attracting projects between $100 million and $200 million, which would have a more significant impact on production, job creation, and export growth. Garicoche also noted that Brazilian entrepreneurs continue to see Paraguay as a strategic partner for their production chains, a flow that should remain regardless of the political scenario in Brazil, as it is a business decision focused on efficiency and cost reduction.
