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4 clusters · 10 sources · 33 days · First seen · Last updated

Paraguayan guaraní reaches strongest level since 2018

Overview

Currency dynamics in South America continue to create significant economic shifts, particularly regarding the strength of the Paraguayan guaraní. Initially, the guaraní’s strength was noted for reflecting fiscal discipline and helping to contain inflation, though it simultaneously began to lower import costs and reduce export earnings for commodities like meat and soy.

As of late August 2026, the guaraní has reached its strongest level against the U.S. dollar since late 2018, with the exchange rate hitting approximately 5,990 guaraníes per dollar. This appreciation follows a trend where the currency strengthened from a rate of 6,575.71 at the end of 2025. This surge is largely driven by robust export receipts, including record soybean revenues, with total exports reaching US$12.13 billion in the first seven months of 2026.

The continued appreciation has intensified tensions within Paraguay’s export sector. Industry representatives, such as the Chamber of Exporters (Capex), have warned that the trend risks business closures and mass layoffs among small and medium-sized enterprises.

In response to exchange rate volatility, the local financial landscape is showing signs of adaptation. The Central Bank of Paraguay (BCP) reported a 23.83% increase in dollar-denominated credit during the first seven months of 2026, totaling USD 14.126 billion, with significant growth in the construction and services sectors. Additionally, the market for currency forward contracts is expanding as businesses seek to hedge against fluctuations; the volume of forward operations increased by 30% compared to the previous year, with July contracts reaching USD 1.721 billion.

Entities

Paraguay · Banco Central del Paraguay · iPhone 17 Pro Max · Argentina · Chile

Timeline

  1. 7 days ago

    [BUSINESS] 5 sources
    Paraguay dollar-denominated credit and currency hedging grow

    Paraguay sees a 23.83% rise in dollar-denominated credit and a 30% increase in currency forward contracts as businesses hedge against exchange rate volatility.

  2. 12 days ago

    [BUSINESS] 3 sources
    Currency fluctuations impact economies in Paraguay and Honduras

    Currency volatility is impacting Paraguay and Honduras, where a strengthening guaraní threatens exporters and a weakening dollar combined with lempira depreciation pressures Honduran import costs.

  3. 12 days ago

    [BUSINESS] 3 sources
    Paraguay's guaraní reaches strongest level against dollar since 2018

    Paraguay's guaraní has hit its strongest level against the US dollar since 2018, driven by record soybean exports and strong total export receipts.

  4. about 1 month ago

    [BUSINESS] 2 sources
    Argentina and Paraguay see currency shifts widening electronics price gaps across South America

    Currency shifts in South America are widening electronics price gaps, with Argentina’s prices far higher than Chile’s, while Paraguay’s strong guaraní lowers import costs but challenges exporters.

Sources

diarioparaguayo.com · elnacional.com.py · eltrueno.com.py · hoy.com.do · paraguayoindependiente.com · pediatricresearchjournal.com · proceso.hn · revistaplus.com.py · riotimesonline.com · ultimahora.com.py

This summary has been updated 2 times: see revision history