
Analysis by Region - Emerging Markets - Paraguay
Description
Analysis by Region - Emerging Markets - Paraguay
We cut our 2025 GDP growth forecast for Paraguay by 0.2ppts to 3.8%, but raised our 2024 growth projection by the same amount to 3.9%. A robust labor market and a recovery in real wages, along with more accommodative financial conditions, support our forecast. We expect these factors will drive domestic demand to expand by 5.7% this year and 4.0% next. This will more than offset the negative contributions from net trade as agricultural exports normalise following record figures last year.
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