Reasons To Invest In Paraguay

Paraguay is a country of multiple possibilities for investing notwithstanding its low level economic development in comparison to others countries of the region. It is a state free of tariffs, which opens the doors to the Latin-American market with more tha 250 million population, including MERCOSUR integration, the member of which Paraguay is. There are some reasonable issues to note: 1.Paraguay is a country free of demographical problems, which include: racial conflicts, overwhelming population and density, religious contradictions. There are no problems with indigenous people of Guarani culture, who are also interested in the inflow of foreign currency as far as Paraguayan currency, Guarani, loses its popularity in correspondence to the rate of American dollar. 2.There is a number of industries, which require more investments and in this was additional financial capital might benefit to both investors and locals. In particular, Paraguay is the biggest exporter of electric energy in the world thankfully to two large enterprises established on the multinational basis and related to the Itapúa dam: with Brazil and Argentina. Hence, the cost of energy services is way lower than in any other country. 3.The state of Paraguay is a heart of South-American continent due to its geographical location. It means that it is surrounded by well-developed countries and, moreover, it possesses transport communications in a good condition. In particular, the improvement of roads was accomplished by gaining the balance between private and state investing policy. 4.The state authorities make everything possible to pull in as many investors as possible. Particularly, many facilitating tools were implemented, such as fiscal policy based on transparency and efficiency, low tax burden, short terms of registration of permanent place of residence and citizenship status. The possession of the nationality of Paraguay and the Paraguayan passport will make it possible to visit all the countries of Latin America and all European countries in the Schengen visa-free regime. 5.Promoting exports is due to the fact that there are many different tax credits and deductions for companies operating in export operations. Benefits include exemption from value added tax and customs duties. The tax burden in Paraguay is the lowest in the region. The most of tax advantages might be observed in import and export in Asuncion – the biggest industrial center of the country, as well as the point of banks concentration. Most of the banks in Asuncion are of national importance. Among other reasons, which encourage investing operations, one should point out the access to large water basins, the dominance of young age labor, perfect climate conditions and high soil fertility.