“Wedged between South American heavyweights Argentina and Brazil, Paraguay has long been ignored by the international community. Small, landlocked and poor, it was often seen as just a fly-over country.

So it’s a little surprising — to both those in the capital and in the region — that the country of 6.1 million people is suddenly having a moment…

Though roughly the size of California, Paraguay’s $47 billion economy is about 1% of the Golden State’s. But rapid growth and economic reforms in recent years helped the country win investment-grade credit status from Moody’s Ratings in 2024 and from S&P Global last year…

Last century, it was run as a dictatorship for 35 years — one of the longest in the region, whose fall in 1989 was followed by a tumultuous transition to democracy. But Paraguay’s embrace of sound fiscal and monetary policies after its 2003 financial crisis is now paying off, with single-digit inflation and annual growth averaging around 4% over the past two decades.”

From Bloomberg.