Paraguay

While debate over economic reform raged, severe economic crisis, compounded by poor crop harvests due mainly to inclement weather conditions, conspired in 2002 to produce the sharpest contraction since 1983, in which output shrank by 2.3%. Given Parguay’s rate of population growth, per capita GDP declined by 4.7%, falling back to the level recorded in the early 1990s. Domestic demand sagged (-6%), although total demand decreased by only half that figure thanks to more buoyant exports. Both private and public consumption weakened by around 5%, while gross domestic investment declined for the sixth year running. Unemployment rose to 14.7%, up from 10.8% in 2001.

Sustainable Development Goals:

Decent Work and Economic Growth

Industry, Innovation and Infrastructure

Peace, Justice and Strong Institutions