Macroeconomic growth does not shift the poverty line
GDP growth is failing to trickle down to household economies. With 62.5% of the workforce in the informal sector and a high concentration of income, 40% of the population remains in a vulnerable situation.
After the commodity boom, Latin America confronts its growth trap
La renovada volatilidad en los mercados de energía y materias primas vuelve a poner de manifiesto una brecha dentro de América Latina. Es posible que los exportadores se beneficien temporalmente del aumento de los precios, mientras que las economías dependientes de las importaciones se enfrentan a una mayor presión sobre la inflación y las finanzas […]
Paraguay: Nearshoring Hub for the Southern Cone
What does this mean? Large companies are seeking to bring their production closer to their main markets. Paraguay, located in the heart of the Southern Cone and blessed with clean, abundant energy from our dams, has everything it needs to become the region’s major industrial and technological hub.
The Challenge of Turning Macroeconomic Figures into Everyday Opportunities
Behind the record-breaking figures for reserves and macroeconomic stability, thousands of families are hoping that the export boom will transform their daily lives. Promoting technical training and streamlining access to local credit will ensure that the benefits of the export boom reach citizens’ pockets.
Argentina's fiscal constraints and the idea of a constitutional lock in Paraguay
This editorial published by the newspaper not only acknowledges the months of work on the issue of “constitutional safeguards for fiscal stability,” but also places a key idea at the center of the regional debate: clear and permanent rules are the best antidote to populist spending.
The low budget deficit is failing to boost public investment
Fiscal stability safeguards the economy, but it is not enough. In this third installment of our series, we analyze how low public investment slows the growth multiplier and prevents fiscal soundness from translating into formal employment.
Latin America's commodity boom and the lost opportunity
Latin America has spent decades trapped in a cycle of disappointing economic growth that contrasts sharply with its enormous potential. The World Bank projects the regional economy will expand by only 2.1% in 2026, the lowest rate among global regions.
Development Rating: Lessons from Chile and Uruguay for Paraguay
Celebramos haber alcanzado el grado de inversión, pero ¿qué sigue ahora? Si miramos a países hermanos como Chile y Uruguay, nos damos cuenta de que el reconocimiento internacional solo rinde frutos si construimos instituciones fuertes y reglas claras. Ese es el puente que necesitamos cruzar para que los buenos números de la economía se conviertan […]
Why is inflation falling, yet households still aren't feeling the effects?
Los hogares de menores ingresos en Paraguay no perciben el alivio de la baja inflación general del 2,7% debido a que las cifras macroeconómicas del BCP ocultan la realidad de las familias vulnerables. Las familias con menos recursos destinan entre el 55% y 65% de sus ingresos a rubros básicos con precios muy rígidos. Mientras […]
Three reforms to boost real investment
Our country has established an enviable macroeconomic framework with a double investment grade, but this achievement will remain nothing more than a decorative title if we do not take the next institutional step. In my analysis, I outline three structural reforms—which are low in fiscal cost and have a high multiplier effect—that are necessary to boost real investment.