What are the latest news in Paraguay?

Economic Performance and IMF ReviewThe International Monetary Fund concluded its 2026 Article IV Consultation with Paraguay, noting sustained macroeconomic resilience. The country has seen solid GDP growthprojected at roughly 4.4% for 2026supported by manufacturing, agriculture, construction, and services, alongside an appreciating guaraní and moderating inflation. -International Monetary Fund+ 1——–Regional Trade and the Mercosur SummitParaguay hosted regional leaders in Asunción for the 68th Mercosur Summit.- Discussions centered on accelerating the Bi-Oceanic Corridor projectconnecting Atlantic and Pacific freight routes across South Americaand establishing coordinated regional intelligence systems to counter cross-border organized crime and drug trafficking. -Gobierno de Chile+ 1——–Energy Sector and Itaipú Treaty NegotiationsThe administration under President Santiago Peña has maintained active talks with Brazil regarding the renegotiation of Annex C of the Itaipú Dam treaty.- The negotiations focus on the financial conditions and terms for exporting Paraguay’s surplus hydroelectric power into Brazil’s open energy market. -MercoPress+ 1——–Air Force ModernizationParaguay has moved forward with military aviation upgrades, including recent deliveries of Embraer A-29 Super Tucano aircraft to bolster airspace defense and border surveillance.- Asunción has also explored agreements with Taiwan regarding retired aircraft and pilot training programs. -MiGFlug+ 1——–Foreign Investment & Residency GrowthThe government continues to promote Paraguay as a regional manufacturing and logistics hub, leaning on investment-grade credit ratings, low tax rates, and favorable conditions under its maquila export regime to attract foreign capital, particularly from neighboring Brazil.- MercoPress———


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