| Area Total | 406,752 sq km |
| Climate | subtropical to temperate; substantial rainfall in the eastern portions, becoming semiarid in the far west |
| Natural Resources | hydropower, timber, iron ore, manganese, limestone |
| Imports | $11.35 billion (2017 est.) partners: China 31.3%, Brazil 23.4%, Argentina 12.9%, US 7.4% (2017) |
| Exports | $11.73 billion (2017 est.) partners: Brazil 31.9%, Argentina 15.9%, Chile 6.9%, Russia 5.9% (2017) |
| Government | presidential republic |
| Capital | Asuncion |
| Population | 7 million (July 2018 est.) |
| Ethnicity | mestizo (mixed Spanish and Amerindian) 95%, other 5% |
| Language | Spanish (official) and Guarani (official) 46.3%, only Guarani 34%, only Spanish 15.2%, other (includes Portuguese, German and other indigenous languages) 4.1%, no response 4% (2012 est.) |
News about Paraguay
- Paraguay steps up intelligence and financial controls in the Tri-Border Area amid Middle East tensions
on March 4, 2026Paraguay’s government has activated intelligence, prevention and financial-control measures in the Tri-Border Area it shares with Argentina and Brazil amid escalating tensions in the Middle East, according to Internal Security Vice Minister Óscar Pereira.
- Paraguay central bank cuts rates as inflation runs below target
on March 3, 2026Paraguay’s central bank chief Carlos Carvallo says the country is dealing with a “nice problem”: inflation is converging to the official goal “from below,” an unusual pattern in the region that has prompted policymakers to start trimming interest rates to prevent price growth from staying too low.
- European Commission announces provisional entry into force for the trade pillar of the EU-Mercosur deal
on February 27, 2026European Commission President Ursula von der Leyen on Friday announced the provisional application of the trade part of the EU-Mercosur association agreement, following parliamentary ratification in Argentina and Uruguay. The move activates trade commitments ahead of full conclusion of the treaty, which still requires the European Parliament’s consent.
- Paraguay posts $162m trade deficit in January as exports decline
on February 13, 2026Paraguay recorded a US$ 162.2 million trade deficit in January after reporting US$ 1.2864 billion in exports and US$ 1.4486 billion in imports, according to the Central Bank of Paraguay’s (BCP) monthly foreign trade report.
- Paraguay courts AI data centers and green hydrogen with discounted power rates
on February 9, 2026Paraguay’s government has rolled out a pair of decrees offering preferential electricity pricing to energy-hungry industries—ranging from AI-linked data centers and cloud computing to green hydrogen and other “Power-to-X” projects—betting that the country’s hydroelectric surplus can be converted into investment and higher-value production. The […]
- Paraguay’s long-run growth leads South America, but income gains lag
on February 3, 2026From 1960 to 2024, Paraguay posted the highest cumulative GDP expansion in South America, according to calculations published by Forbes Paraguay and Colombia’s La República, drawing on World Bank constant-2015-dollar series. Over that span, Paraguay’s economy rose from roughly US$2.8 billion to about US$46 billion (2015 prices), multiplying more than […]
- With Milei present and Lula absent, Mercosur and EU sign landmark deal in Asunción
on January 18, 2026The European Union and South America’s Mercosur bloc signed their long-negotiated association and free trade agreement on Saturday in Paraguay, with Argentina’s President Javier Milei attending the ceremony and Brazil’s Luiz Inácio Lula da Silva absent, represented instead by his foreign minister.
- Mercosur and EU sign historic trade agreement in Asunción after 26 years of negotiations
on January 17, 2026On January 17, 2026, the Mercosur bloc and the European Union (EU) will formalize a comprehensive association and free trade agreement in Asunción, Paraguay, marking the culmination of nearly 26 years of negotiations, according to international and regional news outlets.
- Brazil transfers military equipment to Uruguay and Paraguay to bolster regional security
on January 16, 2026Brazil has enacted two laws formalizing the transfer of military aircraft and equipment to Uruguay and Paraguay, as part of an initiative to upgrade operational capabilities of neighboring countries and enhance regional security, Agência Brasil reported.
- Pressure mounts for Foreign med students in Paraguay to be proficient in Spanish and Guarani
on January 14, 2026The Paraguayan Medical Circle (CPM) has issued a formal demand for strict linguistic competency requirements for all foreign medical students. The guild insists that non-native speakers must obtain official certifications in Spanish and Guaraní as a prerequisite for enrollment and clinical practice.
