Capital repatriation: Pensions are securing Paraguay’s future
Capital repatriation: Pensions are securing Paraguay’s future
Strategic analyses on institutional frameworks, the economy, and development published in specialized media.
Capital repatriation: Pensions are securing Paraguay’s future
In a region where creativity and volatility often go hand in hand, the cost of capital reflects the price companies must pay to access the resources needed for their operations and expansion. It represents the return that investors and lenders demand as compensation for the risks involved in doing business in the region.
According to our analyst César Addario, Paraguay is at a historic juncture with the renegotiation of Annex C of the Itaipú Treaty, which will shape the country’s energy strategy for the coming decades.
The Itaipu hydroelectric power plant, with its 20 generating units of 700 MW each, has an installed capacity of 14,000 MW. However, the dam structure includes a reserved space downstream of the spillways, which allows for the installation of two additional turbines without major modifications to the main civil engineering works.
The savings market that no one saw coming