The construction sector in Paraguay is seeing growth in projects but faces a financial crisis in 2026

The construction sector in Paraguay presents a contradictory scenario in 2026, with growth in the volume of projects driven by investments from the Ministry of Public Works and Communications (MOPC) and the expansion of Route PY01, but it faces persistent financial difficulties, especially among public works companies, according to Gustavo Masi, director of the Paraguayan Road Chamber (CAVIALPA).

Paraguay's construction sector is experiencing a "contradictory" dynamic in 2026, marked by the coexistence of a large potential volume of projects alongside persistent financial difficulties, particularly among companies involved in public works. The assessment comes from Gustavo Masi, director of the Paraguayan Road Chamber (CAVIALPA), who analyzed the scenario in an interview on the program "Economía a 1000."

According to Masi, although there are positive expectations and a significant portfolio of projects underway, liquidity problems continue to affect the sector. He noted that the continuity of infrastructure investments driven by the Ministry of Public Works and Communications (MOPC) helped strengthen business confidence and sustain activity.

The executive highlighted that a capital injection recorded between April and May made it possible to continue several road projects, in addition to expanding the order book and improving employment projections in the sector.

Masi also pointed out that the expansion of Ruta PY01 sparked greater interest from multilateral organizations in public-private partnership schemes, which helped raise expectations in the segment. He also mentioned the boost from urban infrastructure projects promoted by the government, noting that this type of project not only drives construction activity but also has a direct impact on city development and the population's quality of life.

Despite the favorable outlook in terms of projects, the CAVIALPA director stated that companies' financial stability remains the sector's main challenge in the short term.

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Updated: May 30, 2026, 6:25 AM