Fireside Chat, Conference Presentation
A Conversation with the President of Paraguay H.E. Santiago Peña | Global Conference 2025
- Paraguay's sovereign market rating is expected to align with S&P Global's recent positive outlook revision.
- Fiscal deficit is projected at 1.9% for the current year, with expectations to converge toward the fiscal responsibility target in the subsequent year.
- Economic growth is forecasted at 2.3% for 2023, 4% for 2024, and 4% for 2025.
- The nation plans to construct pipelines linking Argentine Vaca Muerta gas to the Brazilian market, rendering the extraction of domestic Chaco region gas economically viable.
- The government anticipates maintaining its legislative majority for two years following the election to facilitate the passage of reforms.
- Paraguay aims to establish a level playing field defined by macroeconomic and political stability to enhance trade within Mercosur and with the EU, while a free trade agreement with the Emirates is currently being finalized.
- The country intends to attract hyperscalers and crypto miners via short-term contracts, though this sector is not envisioned as the primary industry mix for the medium to long term.
- Future investment strategies include the forestry market and green hydrogen, featuring a specific large-scale investment from a British entity for green fertilizer and hydrogen production.
- Discussions are underway with the U.S. administration to expand existing international treaties protecting U.S. investments in Paraguay.
- Paraguay expects to achieve full OECD membership to serve as a trust seal for investors and is piloting a new facility to invest in the green economy with partner nations.
- The government plans to accelerate technology accompaniment processes over the next couple of years through heavy investment in education and the energy transition.
- Technological development initiatives include the Paraguai-Taiwan Technological University to train engineers and the construction of a digital district utilizing Taiwanese technology for manufacturing.
- Strategic positioning aims to connect the European link (ELI) and Asia-Chile (Humbolt) submarine cables, designating the country as a digital hub.
- Diplomatic policy continues to support Taiwan as a technological development model despite external pressure, viewing this relationship as vital to the nation's long-term growth potential.