Paraguay’s economy is projected to grow by 3.8% in 2025, slightly slowing to 3.7% in 2026, according to the UN’s “World Economic Situation and Prospects 2025” report. This growth comes amid Latin America’s expected regional growth of 2.6% in 2025, with Argentina at nearly 4%. Risks to global growth include a potential slowdown in China and the US, which could negatively impact exports, remittances, and capital flows.