Page last updated on February 13, 2013
Economy - overview:
Landlocked Paraguay has a market economy distinguished by a large informal sector, featuring re-export of imported consumer goods to neighboring countries, as well as the activities of thousands of microenterprises and urban street vendors. A large percentage of the population, especially in rural areas, derives its living from agricultural activity, often on a subsistence basis. Because of the importance of the informal sector, accurate economic measures are difficult to obtain. On a per capita basis, real income has stagnated at 1980 levels. The economy grew rapidly between 2003 and 2008 as growing world demand for commodities combined with high prices and favorable weather to support Paraguay's commodity-based export expansion. Paraguay is the sixth largest soy producer in the world. Drought hit in 2008, reducing agricultural exports and slowing the economy even before the onset of the global recession. The economy fell 3.8% in 2009, as lower world demand and commodity prices caused exports to contract. The government reacted by introducing fiscal and monetary stimulus packages. Growth resumed at a 13% level in 2010, the highest in South America, but slowed to 4% in 2011 as the stimulus subsided. In 2012, severe drought and outbreaks of foot-and-mouth disease led to a drop in beef and other agricultural exports and the economy contracted about 0.5%. Political uncertainty, corruption, limited progress on structural reform, and deficient infrastructure are the main obstacles to long-term growth.
GDP (purchasing power parity):
$41.1 billion (2012 est.)
country comparison to the world: 101
$41.3 billion (2011 est.)
$39.59 billion (2010 est.)
note:
data are in 2012 US dollars
[see also:
GDP country ranks ]
GDP (official exchange rate):
$26.09 billion (2012 est.)
[see also: GDP (official exchange rate) country ranks ]
GDP - real growth rate:
-0.5% (2012 est.)
country comparison to the world: 193
4.3% (2011 est.)
13.1% (2010 est.)
[see also:
GDP - real growth rate country ranks ]
GDP - per capita:
$6,100 (2012 est.)
country comparison to the world: 143
$6,300 (2011 est.)
$6,200 (2010 est.)
note:
data are in 2012 US dollars
[see also:
GDP - per capita country ranks ]
GDP - composition by sector:
agriculture: 19.8%
[see also: GDP - composition by sector - agriculture country ranks ]
industry:
19.4%
services:
60.8% (2012 est.)
Labor force:
3.137 million (2012 est.)
country comparison to the world: 103
[see also: Labor force country ranks ]
Labor force - by occupation:
agriculture: 26.5%
[see also: Labor force - by occupation - agriculture country ranks ]
industry:
18.5%
services:
55% (2008)
Unemployment rate:
6.9% (2012 est.)
country comparison to the world: 74
6.6% (2011 est.)
[see also:
Unemployment rate country ranks ]
Population below poverty line:
34.7% (2010 est.)
[see also: Population below poverty line country ranks ]
Household income or consumption by percentage share:
lowest 10%: 1%
[see also: Household income or consumption by percentage share - lowest 10% country ranks ]
highest 10%:
41.1% (2010 est.)
Distribution of family income - Gini index:
53.2 (2009)
country comparison to the world: 14
57.7 (1998)
[see also:
Distribution of family income - Gini index country ranks ]
Investment (gross fixed):
17.9% of GDP (2012 est.)
country comparison to the world: 120
[see also: Investment (gross fixed) country ranks ]
Budget:
revenues: $4.687 billion
[see also: Budget revenues country ranks ]
expenditures:
$5.122 billion (2012 est.)
Taxes and other revenues:
18% of GDP (2012 est.)
country comparison to the world: 175
[see also: Taxes and other revenues country ranks ]
Budget surplus (+) or deficit (-):
-1.7% of GDP (2012 est.)
country comparison to the world: 68
[see also: Budget surplus (+) or deficit (-) country ranks ]
Public debt:
14.7% of GDP (2012 est.)
country comparison to the world: 135
13.8% of GDP (2011 est.)
[see also:
Public debt country ranks ]
Inflation rate (consumer prices):
4.6% (2012 est.)
country comparison to the world: 132
8.3% (2011 est.)
[see also:
Inflation rate (consumer prices) country ranks ]
Central bank discount rate:
5.5% (31 December 2012 est.)
country comparison to the world: 58
6% (31 December 2011 est.)
[see also:
Central bank discount rate country ranks ]
Commercial bank prime lending rate:
26.5% (31 December 2012 est.)
country comparison to the world: 7
28% (31 December 2011 est.)
[see also:
Commercial bank prime lending rate country ranks ]
Stock of narrow money:
$3.666 billion (31 December 2012 est.)
country comparison to the world: 112
$3.6 billion (31 December 2011 est.)
[see also:
Stock of narrow money country ranks ]
Stock of broad money:
$10.11 billion (31 December 2011 est.)
country comparison to the world: 107
$8.452 billion (31 December 2010 est.)
[see also:
Stock of broad money country ranks ]
Stock of domestic credit:
$9.149 billion (31 December 2012 est.)
country comparison to the world: 101
$7.695 billion (31 December 2011 est.)
[see also:
Stock of domestic credit country ranks ]
Market value of publicly traded shares:
$958.1 million (31 December 2011)
country comparison to the world: 116
$42 million (31 December 2010)
$409.1 million (31 December 2006)
[see also:
Market value of publicly traded shares country ranks ]
Agriculture - products:
cotton, sugarcane, soybeans, corn, wheat, tobacco, cassava (tapioca), fruits, vegetables; beef, pork, eggs, milk; timber
Industries:
sugar, cement, textiles, beverages, wood products, steel, metallurgic, electric power
Industrial production growth rate:
6.5% (2010 est.)
country comparison to the world: 47
[see also: Industrial production growth rate country ranks ]
Current account balance:
-$1.17 billion (2012 est.)
country comparison to the world: 119
-$549.9 million (2011 est.)
[see also:
Current account balance country ranks ]
Exports:
$4.7 billion (2012 est.)
country comparison to the world: 118
$5.52 billion (2011 est.)
[see also:
Exports country ranks ]
Exports - commodities:
soybeans, feed, cotton, meat, edible oils, wood, leather
Exports - partners:
Uruguay 15%, Brazil 11.4%, Argentina 10.2%, Chile 8.3%, Russia 6.6%, Netherlands 5.4%, Germany 4.3% (2011)
Imports:
$9.7 billion (2012 est.)
country comparison to the world: 99
$11.5 billion (2011 est.)
[see also:
Imports country ranks ]
Imports - commodities:
road vehicles, consumer goods, tobacco, petroleum products, electrical machinery, tractors, chemicals, vehicle parts
Imports - partners:
Brazil 27.5%, China 16.9%, US 15%, Argentina 14.8%, Chile 4.4% (2011)
Reserves of foreign exchange and gold:
$5.326 billion (31 December 2012 est.)
country comparison to the world: 88
