AGP Executive Report

Paraguay Economy: Paraguay ended the first half of 2026 with South America’s fastest GDP growth, up 5.7% year-on-year, led by agriculture (+12.3%) and supported by services, energy and construction—though momentum cooled in Q2 to 4.0%. Food Security: Banco de Alimentos Paraguay kicks off its 2026 National Food Drive on Oct. 3, aiming to collect 40 tonnes of non-perishable food with 1,000+ volunteers across Asunción, Greater Asunción and major interior cities. Sustainable Procurement: Paraguay’s DNCP improved tracking of sustainable public procurement by adding sustainability clauses into e-GP and building a dashboard—identifying 10,000+ sustainability clauses in tenders over two years. Business & Trade: Nexalin Technology signed a definitive 10-year distribution and local manufacturing deal with Inovanexa for Paraguay and other South American markets, starting with a 100-device commercialization plan. Culture & Heritage: Paraguay conserved two fragile Chaco War audiovisual records, including a 1932 nitrate film, to protect national historical memory.

Paraguay Economy Watch: Paraguay enters Q4 2026 after posting 5.7% GDP growth in the first half, led by agriculture (+12.3%) and supported by services, energy and construction, though momentum cooled from 7.3% (Q1) to 4.0% (Q2). Food & Logistics: Banco de Alimentos Paraguay kicks off its 2026 National Food Drive on Saturday, 3 October, aiming to collect 40 tonnes of non-perishable food with 1,000+ volunteers across 70+ collection points in Asunción and major interior cities. Disaster Response: A severe storm linked to El Niño hit central, northern and eastern Paraguay, affecting at least 4,000 families, damaging homes, power infrastructure and crops in Caaguazú, San Pedro and Cordillera. Sustainable Procurement: Paraguay’s DNCP, with Open Contracting support, improved tracking of sustainable public procurement by adding structured sustainability clauses to e-GP and building a dashboard—identifying 10,000+ sustainability clauses in two years. Health Tech Deal (Regional): Nexalin Technology signed a definitive exclusive distribution and local manufacturing agreement for its ANVISA-approved Nexalin Sync across Brazil, Argentina, Chile, Uruguay, Paraguay, Ecuador and Venezuela, with an initial 100-device commercialization plan.

El Niño Risk Watch: UNICEF says 25.8 million children across Latin America and the Caribbean live in municipalities facing very high rainfall risks, threatening food, safe water, health care, education and child protection. Severe Weather in Paraguay: A powerful storm hit central, northern and eastern Paraguay, affecting at least 4,000 families and damaging homes, power infrastructure and crops in Caaguazú, San Pedro and Cordillera. Medical Tech & Training: Paraguay inaugurated its first Robotic Surgery Training Center (CER Training Center) at Universidad Católica’s campus in Asunción, aiming to scale robotic-assisted procedures and attract regional specialists. Health Industry Deal: Nexalin Technology signed a definitive exclusive distribution and local manufacturing agreement with Inovanexa for Brazil and South America, explicitly including Paraguay, with an initial device commercialization plan. Trade & Agriculture Pressure: The EU’s top court rejected Poland’s bid to suspend the EU–Mercosur trade deal, keeping agricultural competition concerns in focus for Paraguay’s export-linked supply chains. Energy & Forestry Investment: JP Morgan Natural Capital and Paraguay announced a $200M sustainable forestry platform.

Medical & Manufacturing Deal: Nexalin Technology signed a definitive exclusive distribution and local manufacturing agreement with Inovanexa for its ANVISA-approved Nexalin Sync™ across Brazil and South America, starting with a 100-device commercialization program and a 10-year commercial framework that includes Paraguay. Disaster & Agriculture Impact: A severe storm hit central, northern and eastern Paraguay, affecting at least 4,000 families, damaging homes, power infrastructure and crops in Caaguazú, San Pedro and Cordillera. Health Tech Training: Paraguay inaugurated its first Robotic Surgery Training Center (CER Training Center) at Universidad Católica in Asunción to train specialist surgeons using simulation and hands-on modules. Energy & Climate Watch: El Niño is forecast to peak in December, with NOAA projecting ocean temperatures up to 2.7°C—raising expectations of stronger weather swings that can affect agriculture and hydropower. Trade Policy: The EU–Mercosur trade deal remains in focus after the EU’s top court rejected Poland’s bid to suspend provisional implementation, keeping agricultural competition concerns alive. Industry Finance & Logistics: Jeeves raised $110M to expand stablecoin-native banking cards into Paraguay and Uruguay, while Xiamen launched a weekly direct shipping service linking its port to South America’s east coast with feeder links reaching Paraguay. Sports & Culture with Local Links: Paraguay’s film “Narciso” was selected to represent the country at the Oscars and Goya awards, and Asunción’s Port hosts the Words & Sound festival on Oct. 3.

Robotic Surgery Training: Paraguay inaugurated its first Robotic Surgery Training Centre at Universidad Católica’s Health Sciences Campus in Asunción, offering pre-work online prep and a three-day hands-on program for experienced surgeons, with simulation and porcine animal training. Beef Exports: President Santiago Peña said the U.S. is turning to Paraguayan beef to ease rising domestic meat prices, though Paraguay still lacks a dedicated U.S. import quota. EU–Mercosur Trade: The EU’s top court rejected Poland’s bid to suspend provisional EU–Mercosur implementation, keeping pressure on agricultural competition and standards. Forestry Investment: J.P. Morgan Asset Management and Paraguay announced a $200M sustainable forestry platform, aiming to scale investment in forestry. Energy & Climate: NOAA forecasts El Niño could peak in December at up to 2.7°C, with knock-on effects for rainfall and agriculture, including impacts for Paraguay’s water management. Finance Watch: Paraguay’s Treasury plans to borrow P892B domestically in Q4, including P462B in T-bills and P430B in T-bonds. Logistics Link: Xiamen launched a weekly direct shipping service to South America’s east coast, improving routes that connect to Paraguay via regional port networks.

Healthcare & Skills: Paraguay inaugurated its first “CER Training Center,” a robotic surgery training hub at Universidad Católica’s Health Sciences Campus in Asunción, offering pre-training online modules plus a three-day hands-on program with simulations and animal-model practice. Agribusiness & Trade: Paraguay President Santiago Peña told Bloomberg the U.S. is seeking more Paraguayan beef exports to ease local prices, but Paraguay still lacks a dedicated U.S. import quota (shipments fall under a broader “other countries” allowance). Energy & Climate: NOAA forecasts El Niño will peak in December, with ocean temperatures possibly reaching up to 2.7°C, raising risks of floods and droughts that could disrupt Paraguay’s water and agriculture planning. Logistics & Exports: Xiamen launched a weekly direct container service (ZFS) to South America’s east coast, with feeder links reaching inland ports including Paraguay, aiming to cut transit times for high-value cargo. Finance & Payments: Jeeves raised $110M to expand stablecoin-native banking cards into Paraguay and other LATAM markets, boosting cross-border payments coverage. Culture & Industry: “Words & Sound 2026” returns to the Port of Asunción on Oct. 3 with free admission, blending literature, music, workshops, and a book fair. Legal/Trade Policy: The EU’s top court rejected Poland’s bid to suspend the EU–Mercosur trade deal, keeping the agreement on track despite agricultural-sector concerns.

Stablecoin finance expansion: Jeeves raised $110M to scale its stablecoin-native banking platform and is expanding stablecoin card coverage from 25 to 35 countries, adding Paraguay among new markets. Trade & logistics link: ZIM and Hapag-Lloyd launched a weekly direct service from Xiamen to South America’s east coast, with calls including Paranagua and onward connections reaching Paraguay via regional inland links. EU–Mercosur uncertainty: The EU Court of Justice rejected Poland’s bid to suspend provisional implementation of the EU–Mercosur trade deal, keeping Paraguay (with Argentina, Brazil, Uruguay) in the bloc’s trade pipeline. Paraguay beef push: President Santiago Peña said the U.S. is seeking more Paraguayan beef exports, though Paraguay lacks a dedicated U.S. import quota. Energy industry event: Energías Paraguay 2026 (Oct 1, Asunción) will bring fuels, biofuels, electricity, renewables, electric mobility, and payment systems to the table. Sustainable forestry investment: J.P. Morgan and Paraguay announced a $200M sustainable forestry platform. Film industry spotlight: Paraguay selected “Narciso” as its official submission for the Oscars and Goya Awards.

Beef Exports Boost: President Santiago Peña says the U.S. is turning more toward Paraguayan beef as domestic prices rise, but Washington still hasn’t set a dedicated import quota for Paraguay. Film & Culture: Paraguay’s Academy of Film Arts and Sciences selected Narciso as the country’s official submission for the Oscars and the Goya Awards, spotlighting a story tied to a real broadcaster case under Stroessner-era politics. Energy & Industry Events: Energías Paraguay 2026 (Oct. 1, Asunción) will bring fuels, biofuels, electricity, renewables, and service-station transformation to the Mariscal Convention Centre, with free registration. Gold Trafficking Crackdown: Paraguayan authorities launched Operation Aurelia, uncovering an international gold route via Paraguay and Panama toward Turkey, arresting four and seizing high-purity gold. Armed Forces Training Exchange: 60 Paraguayan NCOs joined a leadership development event with the Massachusetts National Guard in Asunción, focused on trust, stress management, and change leadership. Local Tech & Community: Asunción’s English networking scene spotlights software engineer Sergio Benítez, who also teaches English to beginners. Agrifood Policy Watch: After the EU suspended Brazilian meat imports over antibiotic concerns, some importers may pivot toward the U.S., adding pressure and opportunity for regional suppliers.

EU Meat Ban Fallout: The EU suspended imports of several Brazilian meat products over antibiotic and antimicrobial compliance gaps, with no clear removal date—prompting some importers to look toward the U.S. Energy & Industry Calendar: Paraguay will host Energías Paraguay 2026 in Asunción on Oct. 1, focusing on fuels, biofuels, electricity, renewables, electric mobility, and service-station business models. Forestry Investment: JP Morgan Natural Capital and Paraguay announced a $200M sustainable forestry platform tied to native restoration and carbon-market revenue, with capital expected to start early next year. Gold Trafficking Crackdown: Paraguay uncovered an international gold route via raids in Asunción, seizing highly refined gold and linking shipments to Panama and overseas markets. Local Business/Tech: Winbuild says it surpassed 150 clients in its first year and is operating across Argentina, Peru, Uruguay, and Paraguay, aiming for $1M ARR by year-end. Security/Regional Policy: OAS member states, including Paraguay, urged the UN to renew Haiti’s Gang Suppression Force mandate and fully fund its deployment. Agrifood & Climate: FAO highlights forest and landscape restoration as key to food security and biodiversity, calling for more investment and stronger governance.

Sustainable Forestry Investment: JP Morgan Natural Capital and Paraguay announced a $200M investment to build a sustainable forestry platform, including native restoration, commercial forests, and potential revenue via timber and carbon credits, with deployment expected to start early next year. Energy & Industry Expo: Paraguay will host Energías Paraguay 2026 (Oct 1, Asunción) to connect energy firms and policymakers on fuels, biofuels, electricity, renewables, electric mobility, and service-station business upgrades. Mining & Organized Crime: Paraguay uncovered an international gold trafficking network (Operation Aurelia), with raids in Asunción and nearby cities, arrests, and seizures tied to high-purity gold allegedly linked to illegal Brazilian mining. Climate & Hydropower Watch: Yacyretá says El Niño rains could double Paraná River inflows versus historical averages, though higher water won’t automatically mean more electricity generation. Road Infrastructure Knowledge Exchange: El Salvador’s FOVIAL Engineering Fair 2026 included a Paraguay delegation, focusing on modern road conservation methods and materials. Forests for Food Security: FAO’s SOFO 2026 report argues forest and landscape restoration is a cost-effective path to strengthen agrifood systems, biodiversity, and climate resilience.

Energy & Business: Energías Paraguay 2026 – Foro & Expo B2B is set for Oct. 1 in Asunción, bringing fuel, biofuels, electricity, renewables, tech and payment systems to the table, with a focus on how service stations can adapt via diversification and new tech. Sustainable Forestry Investment: JP Morgan Natural Capital and Paraguay’s government announced a $200M sustainable forestry platform, targeting commercial forests, native restoration, and revenue streams including timber and carbon credits, with deployment expected early next year. Mining & Security: Paraguay uncovered an international gold trafficking network in “Operation Aurelia,” raiding nine locations around Asunción, arresting four, and seizing 22 kg of ~99% pure gold linked to illegal Brazilian mining routes. Industry & Trade Watch: WTO dispute talks move forward as Paraguay reserves third-party rights in Russia’s CBAM challenge against the EU, a signal for how carbon rules may reshape regional trade costs. Agribusiness Ripple Effects: Yacyretá expects Paraná River flows could double historical averages with El Niño rains, while warning that higher water won’t automatically mean higher electricity generation.

Sustainable Forestry Investment: JP Morgan Natural Capital and Paraguay’s government announced a $200M investment to build a sustainable forestry platform, including commercial forests, native restoration, and potential carbon-credit revenue, with deployment expected early next year. Energy Industry Calendar: Energías Paraguay 2026—Foro & Expo B2B will bring fuels, biofuels, electricity, renewables, and payment systems to Asunción on Oct. 1 at the Mariscal Convention Centre, with free registration. Mining & Organized Crime: Paraguay uncovered an international gold trafficking network (Operation Aurelia), raiding nine sites in Asunción and arresting four, after prior airport seizures of highly refined gold allegedly linked to illegal Brazilian mining. Climate & Hydropower Watch: Yacyretá says El Niño rains could double Paraná River inflows versus historical averages, though higher water won’t automatically mean more electricity generation. Trade & Carbon Rules: Paraguay reserved third-party rights in a WTO dispute over the EU’s CBAM and alleged export subsidies tied to emissions allowances. Local Innovation & Culture: The Recycled Orchestra of Cateura is touring the Bay Area, turning landfill waste into instruments and opportunity for youth.

Energy & Business: Energías Paraguay 2026 will bring an energy and B2B forum to Asunción on Oct. 1, covering fuels, biofuels, electricity, renewables, electric mobility and service-station business shifts, with free entry by registration. Sustainable Forestry Investment: JP Morgan Natural Capital and Paraguay’s government announced a $200M sustainable forestry platform, aiming at commercial forests, native restoration, and potential revenue via timber and carbon credits. Hydropower Watch: Yacyretá is preparing for El Niño-driven rainfall that could boost Paraná River inflows to around double historical averages, while noting more water doesn’t automatically mean higher generation. Gold Trafficking Crackdown: Paraguay uncovered an international gold route (Operation Aurelia), raiding sites in Asunción and arresting four, after prior airport seizures linked refined gold from alleged illegal Brazilian mining toward Panama and Turkey. Trade & Climate Policy: Paraguay reserved third-party rights in a WTO dispute over the EU’s CBAM and alleged export subsidies tied to emissions allowances. Infrastructure Knowledge Exchange: El Salvador’s FOVIAL Engineering Fair 2026 featured technical presentations and included a Paraguay delegation focused on modern road conservation methods.

Energy & Business: Paraguay will host Energías Paraguay 2026 – Foro & Expo B2B in Asunción on Oct. 1, bringing together authorities and firms to discuss fuels, biofuels, electricity, renewables, tech and payment systems, with a focus on how service stations can diversify beyond fuel sales. Mining & Trade Security: Paraguayan authorities say they uncovered an international gold trafficking network, arresting four and seizing 22 kg of highly refined gold believed to have come from illegal Brazilian mines and routed via Paraguay and Panama toward Turkey. Forestry Investment: JP Morgan Natural Capital and Paraguay’s government announced a $200M sustainable forestry platform to build commercial forests, restore native areas, and pursue timber and carbon-credit revenue, with deployment expected in early 2027. Climate & Hydropower Watch: Yacyretá warns El Niño/“Super Niño” rains could double Paraná River inflows, boosting water volumes but not necessarily electricity generation, with monitoring and possible discharge controls planned. Digital Enforcement: Operation LUMEN launches a coordinated Paraguay-led site-blocking push targeting 300+ domains tied to piracy and malware across Latin America. Agri-Food Link: Singapore is deepening ties with Paraguay via carbon-credit collaboration and broader agri-food supply-chain cooperation in Latin America.

Sustainable Forestry Investment: JP Morgan Natural Capital and Paraguay’s government announced a $200 million sustainable forestry platform at the Paraguay Investment Forum, targeting commercial forests, native restoration, and revenue via timber and carbon credits, with capital expected to start in early 2027. Hydropower & Climate Watch: Yacyretá says El Niño/“Super Niño” rains could push Paraná River inflows to double historical averages, while warning higher water won’t automatically mean more electricity and may require controlled releases to manage flood risk. Gold Trafficking Crackdown: Paraguay uncovered an international gold trafficking route, raiding nine sites in Asunción and arresting four over shipments believed to originate in illegal Brazilian mining and move via Paraguay and Panama toward Turkey. Regional Security Push: Paraguay is among countries backing the Shield of the Americas plan, which designates 24 armed groups for coordinated action and sanctions-focused measures against transnational criminal networks. Copyright Enforcement: Paraguay’s DINAPI joined Operation LUMEN, a regional site-blocking effort targeting 317 piracy and malware domains across Latin America, including more than 300 domains linked to stream ripping. Trade & Supply Chains: Singapore is deepening Latin America ties on agri-food, green and digital finance, including carbon-credit collaboration agreements that include Paraguay.

Sustainable Forestry Investment: Paraguay’s Office of the President and J.P. Morgan Asset Management announced a ~$200M investment in a large-scale sustainable forestry platform, aiming to build commercial forests, restore native areas, and produce timber, carbon credits, and wood-products locally starting in early 2027. Security & Organized Crime Cooperation: Paraguay is among countries backing the Shield of the Americas push, with a focus on coordinated sanctions and cross-border action against major armed criminal groups. Digital Enforcement Against Piracy: Paraguay’s DINAPI joined Operation LUMEN, a regional site-blocking effort targeting 300+ domains tied to stream ripping and malware, disrupting services that drew millions of visits monthly. Energy & Water Risk for Industry: “Super Niño” conditions could boost Paraná River flows and affect Yacyretá operations, with the binational entity monitoring rainfall and preparing discharge actions to manage flood peaks. Business & Trade Linkages: Singapore is deepening Latin America cooperation in supply chains, agri-food resilience, and green/digital finance, including carbon-credit collaboration agreements that include Paraguay. Local Industry Growth: Paraguay’s maquila sector reportedly crossed US$1B in value in eight months of 2026, signaling continued manufacturing momentum.