Senate Committee Halts Health Financing Projects

The Finance Committee of the Paraguayan Senate halted a project that would redirect communication funds to healthcare and postponed for 15 days the analysis of a budget increase to pay off the sector's debts.

Senate Committee Halts Health Financing Projects
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The Finance and Budget Committee of the Paraguayan Senate, chaired by Silvio "Beto" Ovelar, decided not to issue a report on a bill that proposed redirecting nearly G. 9.75 billion. The funds, originally earmarked for communication campaigns, institutional events, and the hiring of digital influencers, were to be used for the purchase of essential medicines and hospital supplies.

Senator Ovelar justified the decision by stating that, since the funds involved are from the binational entity Itaipu, it was necessary to first consult the Paraguayan director of the entity, Justo Zacarías Irún. This stance was supported by the leader of the ruling bloc, Senator Natalicio Chase, who refused to specifically debate the funds for influencers and preferred to question the head of Itaipu directly about the availability of funds for the Ministry of Health.

Simultaneously, the same committee agreed to delay for 15 days the study of a bill for a budgetary increase intended to pay off the state's debts with healthcare suppliers, including pharmaceutical companies. The postponement was decided after a meeting with the Minister of Health, María Teresa Barán, and the substitute Minister of Economy, Andrea Picaso.

Ovelar stated that the Health Ministry's accumulated debt reaches $1 billion, incurred since 2012, and that the Senate is committed to approving the measure. However, he emphasized that the source of funding for this increase still needs to be defined, as using ordinary Treasury funds or increased tax revenue seems unviable, potentially requiring a "financial reengineering."

Without the committee's report, the bill to redirect communication funds to healthcare was frozen and left off the agenda of the Senate's ordinary session, while the solution for paying healthcare suppliers was postponed for two weeks.

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Updated: Jul 23, 2026, 1:30 AM