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Paraguay: Sixth Review Under the Policy Coordination Instrument, and Fourth Review Under the Resilience and Sustainability Facility Arrangement-Press Release; Staff Report; and Staff Supplement

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  • International Monetary Fund

Abstract

This paper presents Paraguay’s Sixth Review under the Policy Coordination Instrument (PCI), and Fourth Review under the Resilience and Sustainability Facility (RSF) Arrangement. Paraguay’s economy performance remains strong, with the authorities making steady progress with reforms supported by the PCI and RSF, while advancing on their fiscal consolidation objectives and keeping inflation within the central bank’s tolerance range. The authorities are working on the protocols and legal changes required to implement two of the remaining unmet reform targets (RT) while the RT on the reform of the insolvency law has been postponed but remains on the authorities’ agenda. The reviews mark the successful completion of a comprehensive home-grown reform agenda supported by the PCI and RSF. Continued prudent macroeconomic management including the completion of the fiscal consolidation plan, and sustained progress with structural reforms remain critical to strengthen macroeconomic stability and sustainable, inclusive growth.

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  • International Monetary Fund, 2026. "Paraguay: Sixth Review Under the Policy Coordination Instrument, and Fourth Review Under the Resilience and Sustainability Facility Arrangement-Press Release; Staff Report; and Staff Supplement," IMF Staff Country Reports 2026/013, International Monetary Fund.
    • Handle: RePEc:imf:imfscr:2026/013
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