Asunción, Agencia IP.- President of the Republic, Santiago Peña, stated that the tariffs announced by the United States affect Paraguay «to a lesser extent,» despite acknowledging that they will have a global impact. He maintained that the Paraguayan economy has a growth outlook for the coming years.
«In relative terms, we are much better off than other countries that have experienced a significant increase in tariffs,» said the President in an interview with Radio Mitre in Argentina when asked about the impact of the tariffs announced by U.S. President Donald Trump on the Paraguayan economy.
The U.S. President’s announcement regarding tariffs on imported products has had a global reach. In the case of Latin America, the established tariffs were the lowest compared to other regions of the world, being limited to around 10%.
«Not all countries are in the same commercial and tariff situation,» Peña said when evaluating this impact, noting that in Paraguay’s case, the country’s economy has been growing «without much external incentive, other than the internal strength it is developing and access to markets.»
«Paraguay built its economy on competitiveness and the ability to adapt, with a free exchange rate that adjusts to supply and demand. But clearly, the foundation is the country’s fiscal stability, with the lowest public debt in South America and adherence to the fiscal responsibility law,» he added.
He affirmed that this global economic scenario «finds Paraguay in a firm position.» However, he acknowledged that the country is «still very far from being where we want to be» in terms of its level of development.
He mentioned advances such as the economy growing by more than 5% of its GDP in 2023 and maintaining a similar growth rate the following year, with low and stable inflation.
He also mentioned a significant reduction in poverty in 2024 «with a very optimistic outlook for 2025.»
«We are making improvements in our tax system, investment attraction, business promotion, and public works, which this year are likely at their highest record with various road, hospital, and educational infrastructure projects,» Peña added.
Regarding the global scenario, he emphasized that over the past 150 years, the world has seen the implementation of protectionist policies that have required adjustments, «but ultimately, these problems have been managed successfully.»