Asunción, Agencia IP.- Economic activity indicators show diversified growth, with increased services, manufacturing, and construction sectors, surpassing Paraguay’s traditional economic pillars of agriculture and energy generation.
Evidence of this can be seen in the January and February reports of the Monthly Economic Activity Indicator of Paraguay (IMAEP), compiled by the Central Bank. According to the institution’s president, Carlos Carvallo, the reports show a 5.9% growth rate.
«We’re beginning to see lately that the economy has experienced significant diversification. This year, we’re seeing that labor-intensive sectors are performing well: services, construction, and some manufacturing,» he noted in an interview with Paraguay’s National Radio.
This balanced growth across sectors helps sustain the overall growth rate despite negative variation in soybean production and the gradual recovery of energy generation—both affected by last year’s drought. These two products are among Paraguay’s primary export commodities.
Economic activity, excluding agriculture and energy generation, increased by 7.5% in the first two months of 2025 and 6.0% compared to February 2024.
Impact of tariffs
The Central Bank president stated that these indicators indicate «quite a virtuous performance.» However, he emphasized the need to continue monitoring the economy amid external measures announced by the United States and the possibility of a trade war with China.
He said Paraguay benefits from a resilient economy supported by solid macroeconomic policies and is in a strong position to withstand a potential trade war.
«While this situation affects global economic dynamics, the effects can be asymmetric and vary between countries. I believe the best way to face this scenario is to stay organized: we must be disciplined, more meticulous in our economic policy, and proactive in seeking appropriate markets for our products,» Carvallo concluded.