Paraguay's Superior Tribunal of Electoral Justice (TSJE), the nation's electoral authority, has warned that the current political financing legislation has limitations that hinder the detection and prevention of money from illicit sources entering election campaigns. The statement was made by the director of Political Financing at the body, Christian Ruiz Díaz, during the process for the October 2026 Municipal Elections.
Ruiz Díaz explained that the deadline for official candidates to submit their sworn statements of income and campaign expenses expired this Monday. However, he highlighted that effective oversight faces major challenges, as possible infractions can only be detected after the elections, according to the current legal framework.
The director admitted it is "very difficult" to track the origin of the funds used by candidates, even after partial modifications to the 2012 law. He stated that the legislation needs several adjustments to create a more effective control system and that the TSJE is working on proposed modifications, which depend on approval from the Legislative branch to move forward.
Ruiz Díaz emphasized that controlling political financing cannot be the task of a single institution but must be done in a coordinated manner, attacking the source of "dirty money" and not just its use during election periods. He acknowledged that, under the current rules, it is complex to prevent criminal organizations from seeking spaces within politics through candidacies.
As part of efforts to strengthen controls, the TSJE is beginning to use artificial intelligence tools to identify profiles that may present risks of irregularities. Regarding sanctions, Ruiz Díaz clarified that non-compliance with obligations can result in the loss of the electoral subsidy for political organizations, a penalty that can reach 100%, as the current law does not provide for direct sanctions for individual candidates.