The Central Bank of Paraguay published an update noting that Moody's Ratings has affirmed Paraguay's sovereign credit rating at Baa3, preserving its investment-grade status, for long-term local and foreign currency debt with a stable outlook. The affirmation reflects what Moody's described as strong economic performance, supported by resilient growth, relatively low and stable public debt, a medium-term fiscal responsibility framework, credible monetary policy, low inflation and political stability. Moody's projected economic growth of about 4.5% in 2026 after 6.6% expansion in 2025, driven by continued public and private investment that should support productive diversification and longer-term growth. It also pointed to the inflation-targeting framework, a flexible exchange rate regime and prudent macroeconomic management as factors supporting price stability and anchored inflation expectations. The stable outlook, in Moody's view, balances Paraguay's strengths against its risks, with economic diversification, continued investment, prudent fiscal and monetary policies, low external vulnerabilities and a solid financial system supporting resilience to shocks.
Central Bank of Paraguay2026-07-17
Central Bank of Paraguay highlights Moody's reaffirmation of Paraguay's Baa3 sovereign rating with stable outlook
The Central Bank of Paraguay said Moody's Ratings has affirmed Paraguay's sovereign rating at Baa3, maintaining investment-grade status and a stable outlook. Moody's cited resilient growth, low and stable public debt, credible monetary policy and political stability. It expects growth of about 4.5% in 2026 after 6.6% in 2025.