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Economy of Paraguay

Paraguay is considered to be a developing nation. The developmental stage of a nation is determined by a number of factors including, but not limited to, economic prosperity, life expectancy, income equality, and quality of life. As a developing nation, Paraguay may not be able to offer consistent social services to its citizens. These social services may include things like public education, reliable healthcare, and law enforcement. Citizens of developing nations may have lower life expectancies than citizens of developed nations. Each year, Paraguay exports around $14.7 billion and imports roughly $12.37 billion. 4.7% of population in the country are unemployed. The total number of unemployed people in Paraguay is 324,155. In Paraguay, 28.9% of the population lives below the poverty line. The percentage of citizens living below the poverty line in Paraguay is fairly high, but is not reason for complete concern with regard to investments. Potential financial backers should look at other economic markers, including GDP, urbanization rate, and strength of currency, before making any decisions regarding investments. Government expenditure on education is 4% of GDP. The Gini Index of the country is 53.2. Paraguay is experiencing inequality. The gap between the richest and poorest citizens in this country is significant and obvious, resulting in a drastically different standard of living for rich and poor citizens. Paraguay has a Human Development Index (HDI) of 0.676. Paraguay has an upper medium HDI score. This indicates that the majority of citizens will be able to attain a desirable life, though some citizens will not be able to achieve high living standards. The Global Peace Index (GPI) for Paraguay is 2.023. The strength of legal rights index for Paraguay is 2. Overall, it is considered to be rather weak - bankrupcy and collateral laws are unable to protect the rights of borrowers and lenders in case of credit-related complications; credit information, if any at all, is scarce and hardly accessible.

Currency

The currency of Paraguay is Paraguayan guarani. The plural form of the word Paraguayan guarani is guaranis. The symbol used for this currency is ₲, and it is abbreviated as PYG. The Paraguayan guarani is divided into Centimo; there are 100 in one guarani.

Credit rating

The depth of credit information index for Paraguay is 8, which means that information is mostly sufficient and quite detailed; accessibility is not a problem. According to the S&P credit-rating agency, Paraguay has a credit rating score of BB-, and the prospects of this rating are stable. According to the Moody's credit-rating agency, Paraguay has a credit rating score of B1, and the prospects of this rating are stable.

Central bank

In Paraguay, the institution that manages the state's currency, money supply, and interest rates is called Central Bank of Paraguay. Locally, the central bank of Paraguay is called Banco Central del Paraguay. The average deposit interest rate offered by local banks in Paraguay is 4.3%.

Public debt

Paraguay has a government debt of 14.% of the country's Gross Domestic Product (GDP), as assessed in 2013.

Tax information

The corporate tax in Paraguay is set at 10%. Personal income tax ranges from 8% to 10%, depending on your specific situation and income level. VAT in Paraguay is 10%.

Finances

The total Gross Domestic Product (GDP) assessed as Purchasing Power Parity (PPP) in Paraguay is $58493 billion. The Gross Domestic Product (GDP) assessed as Purchasing Power Parity (PPP) per capita in Paraguay was last recorded at $8 million. PPP in Paraguay is considered to be below average when compared to other countries. Below average PPP indicates that citizens in this country find it difficult to purchase local goods. Local goods can include food, shelter, clothing, health care, personal care, essential furnishings, transportation and communication, laundry, and various types of insurance. Countries with below average PPP are dangerous locations for investments. The total Gross Domestic Product (GDP) in Paraguay is 29,208 billion. Based on this statistic, Paraguay is considered to have a medium economy. Countries with medium economies support an average number of industries and opportunities for investment. It should not be too difficult to find worthwhile investment opportunities in medium economies. The Gross Domestic Product (GDP) per capita in Paraguay was last recorded at $4 million. The average citizen in Paraguay has very low wealth. Countries with very low wealth per capita often have lower life expectancies and dramatically lower quality of living among citizens. It can be very difficult to find highly skilled workers in countries with very low wealth, as it is difficult for citizens to obtain the requisite education needed for specialized industries. However, labor can be found for very low rates when compared with countries with higher wealth per capita. GDP Annual Growth Rate in Paraguay averaged 4% in 2014. According to this percentage, Paraguay is currently experiencing significant growth. Countries that are experiencing significant growth offer the best chance for a substantial return on investment, as GDP growth rate is the most important indicator of economic health. As GDP grows, business, jobs, and personal income grow as well. To read more about financial information click on finances of Paraguay.

Industry

Major industries in the country are sugar, cement, textiles, beverages, wood products, steel, base metals, electric power. The total labor force of Paraguay is 3,385,220 people, wherein 4.7% of population in the country are unemployed. The total number of unemployed people in Paraguay is 324,155. The Industrial Production growth rate of Paraguay is 6.5%.To read more about industrial information within Paraguay click on industry of Paraguay.

Agriculture

There are 29678 km2 of arable land in Paraguay, and it comprises 7% of the country's total territory. There are 30632 km2 of cultivated land in Paraguay. The country's major agricultural crops and products are cotton, sugarcane, soybeans, corn, wheat, tobacco, cassava, fruits, vegetables, beef, pork, eggs, milk, timber.To read more about agriculture click on agriculture of Paraguay.