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The Paraguayan government defended the preferential rate of US$30 per MWh granted to the company Atome for green fertilizer production, arguing that the figure is justified by operational efficiency and low transmission losses, while the ANDE workers' union and experts criticized the measure and pointed to regulatory weaknesses in the electricity sector.
andeatomeRediex launched the free program Paraguay Exporta + at FEPY 2026 to train and provide technical support to Paraguayan companies seeking to expand their exports, with a focus on sectors such as food, apparel, forestry, and metalworking.
paraguay-exportaeduardo-gustaleParaguayan business leaders supported the transparency required by the DNIT regarding corporate reserves through Resolution No. 49/2026, but they categorically rejected the possibility of taxation on retained earnings.
dnitParaguay's forestry sector exports grew 4.6% in volume and 9% in value between January and May 2026, totaling 68,953 tons and US$38.08 million, driven mainly by plywood and charcoal with briquettes, according to data from the Unión de Gremios de la Producción (UGP) based on figures from the Instituto Forestal Nacional (Infona).
instituto-forestal-nacionalunion-de-gremios-de-la-produccionInformality in Paraguay affects 60.1% of workers and accounts for approximately 20.5% of GDP, representing a structural challenge that spans from street vending to sectors such as construction, domestic services, transportation, agricultural activities, and small family businesses, according to economist Rodrigo Ibarrola of Cadep. He argues that education is a key factor in reducing this phenomenon and advocates for incentive-based formalization, accompanied by visible benefits and improved public services.
The Paraguayan government enacted Decree No. 6120/2026 to implement austerity measures in 2026, but analysts warn that one-off cuts are insufficient and are calling for structural reforms in public procurement, civil service management, supplier debt, and the Caja Fiscal deficit.
caja-fiscalAn internal audit at the IPS uncovered a scheme to manipulate computer records that concealed employer debts exceeding G. 7.670 billion, involving 14 employees who altered data in the REI system between January 2024 and May 2025, benefiting 59 companies.
ipsThe trade agreement between the European Union and Mercosur, in force since May 1, 2026, guarantees zero or preferential tariffs for 95% of Paraguayan exports to the European market, consolidating the country as a production and export platform geared toward Europe.
union-europeamercosurmaquilaThe Paraguayan pharmaceutical industry already produces 70% of the medicines consumed in the country, with investments in modernization and technology that strengthen competitiveness and open up room for exports, in addition to generating around 8,500 direct jobs and more than 45,000 indirect ones.
luis-avilaExpo Paraguay ARP 2026 will be held from July 11 to 26 at the Rural fairgrounds in Asunción, featuring around 200 exhibitor companies, a program that includes concerts, a job fair, a cattle show, and gastronomic and artistic activities.
expo-paraguay-arp-2026asociacion-rural-del-paraguaysalon-german-ruiz-aveiropilsenuenoParaguayan exports with a Certificate of Origin totaled $693 million in May, with the Americas as the main market ($510 million), led by Brazil ($190 million), followed by Argentina ($170 million) and Chile ($60 million).
indonesiaargentinaParaguay recorded a 46% increase in international tourist arrivals in the first quarter of 2026 compared to the same period the previous year, leading global tourism growth according to the UN Tourism World Tourism Barometer, while South America as a bloc saw a 1% decline in the period.
argentinael-salvadormexicoFour ANDE unions have filed an unconstitutionality lawsuit against presidential decrees 5306, 5307, and their amendments 5860 and 5861, signed by President Santiago Peña. They claim the measures would cause significant financial harm to the state electricity utility — which manages Paraguay's share of the binational Itaipú dam — and result in a 15-year subsidy to a business group involved in crypto mining, data centers, and hydrogen production, with the cost passed on to the public through electricity rates.
andeDNIT projects that 90% of Paraguay's invoices will be electronic by the end of 2026, with more than 38,000 taxpayers already operating through Sifen, which validates an average of 2.5 million electronic receipts per month.
dnitregistro-unico-del-contribuyenteConatel launched Tender No. 01/2026 for Mobile Broadband, approved by Board Resolution No. 1309/2026, to award radio spectrum licenses in the 2,300 MHz and 3,500 MHz bands for mobile broadband services and 5G technology through a simultaneous ascending auction with base prices ranging from US$1 million to US$1.6 million. Bids are due by July 10, 2026, amid oversight by the Comptroller General's Office regarding the previous spectrum award to Nubicom Paraguay S.A.
nubicom-paraguay-saEconomist Sergio Sapena warns that Paraguay’s actual fiscal deficit, estimated at 4% with accumulated debt of around 2 billion dollars, threatens the country’s investment grade. He recommends transparency in the figures and increasing the deficit to 6% to stimulate strategic sectors.
sergio-sapenadeficit-fiscalThe Paraguayan government's debt to construction companies remains at US$300 million despite payments made in April and May, according to Capaco, which rejected the factoring system proposed by the Ministry of Economy and Finance (MEF), considering it unfeasible due to the high interest rates charged by financial institutions.
jose-luis-heiseckemefsergio-sapenaParaguay's Electronic Identity has surpassed 1.5 million users, representing around 30% of the population over 18 years of age, and enables access to more than 480 digital public services through the Portal Paraguay, with the 18-to-35 age group accounting for 56% of registrations.
portal-paraguayparaguay-gov-pyParaguay 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.
uruguaychileargentinaboliviaFormer director of the Entidad Binacional Yacyretá, Nicanor Duarte Frutos, warned that Paraguay could consume all of its available energy in about 10 years and called for investment in new energy projects and the strengthening of the national industry.
entidad-binacional-yacyreta1020-amnicanor-duarte-frutosParaguayan slaughterhouses supplied 49.9% of domestic beef consumption in 2025, a jump of more than 12 percentage points compared to 2023, when their share stood at 37.6%.
The accelerated aging of Paraguay's population is already underway and will require companies to deeply revise their investment, employment, and productivity strategies, warned UNFPA specialist Claudina Zavattiero during ADEC's 18th International CSR and Sustainability Congress. She noted that the country will undergo in three decades an aging process that took roughly a century in Europe, which will reshape both consumer markets and labor availability.
adecclaudina-zavattieroOTP Bank invested USD 47 million in U Holdings, the parent company of ueno bank, becoming the main shareholder with 9.99% and a strategic partner of the Paraguayan digital bank.
otp-bankuenou-holdingsjp-morganThe Central Bank of Paraguay set the ceiling interest rate for loans in guaraníes at 27.11% per year for June, while the limit for foreign currency loans was maintained at 11.20%.