Economy of Paraguay
An overview of key economic indicators. Select a category for detailed trends, charts, and insights.
Explore Economic Domains
Growth & Output
Trade & Finance
Labor & Income
Energy & Environment
Economic Snapshot Overview
A summary of key economic indicators for Paraguay
- The economic architecture of Paraguay is substantial, anchored by a Gross Domestic Product (GDP) of approximately $42.96B2023. This places it as the 95th largest economy out of 191 countries measured, underscoring its significance on the world stage. On a per capita basis, GDP stands at $6.28K2023, while its GDP in Purchasing Power Parity (PPP) terms is estimated at $119.89B, reflecting the population's domestic purchasing power. The economy demonstrates solid growth, expanding at a rate of 4.7%2023, while managing moderate inflation, with a CPI of 3.8%2024.
- On the global stage, the nation's trade and financial dynamics reveal a complex interplay of factors. The country maintains a strong trade surplus, with exports representing 42.5% of GDP and imports 40.4%2023. Foreign Direct Investment (FDI) inflows are significant, constituting 1.34% of the economy2023. This performance positions the country 115th globally out of 186 nations, indicating its relative attractiveness to foreign capital. Additionally, personal remittances received amount to a substantial $745.72M annually2023, highlighting the economic importance of its diaspora. The government faces fiscal constraints, with tax revenue representing only 10.2% of GDP2023.
- The socio-economic landscape is characterized by a Gross National Income (GNI) per capita of $6,2202023. Globally, this ranks the nation 99th out of 190 in terms of GNI per capita, providing a clear measure of its national wealth relative to others. The labor market is stable, with unemployment at 6.1%2024. The services sector is a primary driver of the labor market, accounting for 64.8% of total employment2023. Poverty remains a key issue, with 24.7% of the population living below the national poverty line2022. There is a moderate level of income inequality, with a Gini index of 44.42023.
- On the environment and energy front, energy consumption per capita is 1,044.985 kg of oil equivalent2022. The country is a leader in clean energy, with renewable sources making up 58.8% of total final energy consumption2021. Its commitment to clean energy places it 153rd among 190 countries for its share of renewable energy consumption.
Key Economic Insights
Macroeconomic Health
Maintaining a balance between growth, inflation, and employment is the central challenge for economic policymakers.
Trade & Investment Profile
The degree of openness to trade and foreign investment is a major determinant of economic structure and resilience.
Social Equity & Distribution
Distributing the benefits of economic growth equitably is crucial for social cohesion and long-term stability.
Energy & Sustainability
A strong commitment to renewable energy positions the country as a leader in the green transition, potentially creating new economic advantages.
Note: The information on this page has been compiled from authoritative sources. While every effort is made to ensure accuracy, please note that some figures may not be current or entirely precise.