Front view of historic cathedral in Asunción, Paraguay with clear blue sky.Stunning view of the Basilica of Our Lady in Caacupé during a golden sunset.Stunning sunset view of Ciudad del Este skyline with dramatic clouds and vibrant colors.A serene cityscape showcasing a vibrant mix of tall buildings and abundant green spaces under a clear blue sky.A scenic view of Panama City skyline silhouetted at sunset, featuring palm trees and vibrant clouds.

Paraguay

South America · South America

High PeaceVery Affordable Cost of Living
High Development
Population6.9M106th
GDP / Capita$6KUpper-mid
PPP / Capita$19KLow
Gender Inequality0.429Moderate
Life Expectancy74 yrsModerate

Lowest taxes in South America — flat 10% tax rate, dollar economy, easy residency.

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Backpacker

Ideal destination

At a Glance

41
LowSafety
82
Very AffordableCost of Living
95
HighWater Access
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Paraguay

Paraguay is a landlocked South American country that rarely appears on anyone's itinerary, which is part of its charm for those who seek out the overlooked. The Guaraní culture and language remain central to daily life even in the capital Asunción, giving it an indigenous quality rare in South American cities. The country's quiet pace, distinctive food, and genuine off-the-map feeling suit slow travellers rather than those with a packed agenda.

  • Runs almost entirely on hydroelectric power — one of the world's largest exporters of electricity.
  • Guaraní is spoken by more Paraguayans than Spanish — a rare case of an indigenous language surviving majority use.
  • Only doubly landlocked country in South America — surrounded by landlocked Bolivia, Argentina, and Brazil.
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Quick Facts

Capital

Asunción

Languages

Guaraní, Spanish

Currency

PYG

Area

396,012 km²

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Nomad Hub

Fixed Broadband

118Mbps

Fast55th globally

Mobile

28Mbps

Slow96th globally
EnglishModerate
PlugType A/B/C/N

GDP / Capita

i

$6K

Lower Mid

PPP / Capita

i

$19K

Upper Mid

Inflation

i

3.8%

Moderate

Unemployment

i

4.8%

Low

Innovation (GII)

i

21.4

Below Avg

GNI / Capita

i

$6K

Lower Mid

Tax Revenue

i

11.4%

FDI Inflows

i

2.5%

Education Spend

i

3.5%

Cost of Living

i

28.5

Very Affordable

Price Level Index

i

69th pct

Very Affordable

20-Year Trend + IMF Forecast

Income & inflation over time

i
+226% nominal+58% real
$7K$13K$20K2%4%200520102015202020252027
GDPPPPInflationIMF forecast
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Neighbouring Countries