FX.co ★ Paraguay GDP Growth Accelerates in Q1

In the first quarter of 2025, Paraguay's GDP grew by 5.9% compared to the same period the previous year, showing an improvement from the 3.6% growth recorded in the last quarter. This growth was primarily fueled by robust performance in the services sector, which increased by 6% from 4.8% in Q4. The utilities sector also rebounded significantly, climbing 8.3% after a previous decline of 7.9%. The construction sector continued its expansion, posting a growth of 12.9%, slightly down from 13.6%, while manufacturing recorded a growth of 6.6%, up from 3.1%. The sectors of livestock, forestry, fishing, and mining experienced an impressive surge of 10.8%, compared to a 2.7% increase previously. Although agriculture continued to face challenges, the rate of contraction slowed from -4.3% to -3.4%. From the perspective of expenditure, domestic demand increased by 9.3%, which was just below the 10.5% growth observed in the fourth quarter of 2024.