Prioritizing investment in Paraguay’s agriculture is vital for recovery
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The findings reported in this brief have been adapted from the FAO Agricultural Development Economics Technical Study No. 19 <a href="https://doi.org/10.4060/cc2341es" target="_blank" class="TableHeading0"><i>Inversión pública productiva en la agricultura para la recuperación económica con bienestar rural: un análisis de escenarios prospectivos para Paraguay</i></a>.
This study presents prospective scenarios that provide information on where, within Paraguayan agriculture, the few public investment resources that would be allocated to the sector should be prioritized. A new public investment equivalent to 0.25% of GDP in the 2023–2025 period (1 798 billion guaranies in 2014), financed with external borrowing, would contribute to economic recovery. The increases in private consumption and GDP are between 0.1% and 0.2%, depending on the sector receiving the investment in agriculture. The increases in agrifood GDP are somewhat higher and the reductions in the national poverty rate vary between 0.2% and 0.5%.