Investing and Moving to Paraguay for Expats: A Growing Economy
Investing and moving to Paraguay for expats has become a strategic priority for many global citizens in recent years. If we look at South American countries, we notice that Paraguay’s openness is paying off. The contribution of foreign citizens is helping the nation thrive. Economic data reveals that the GDP has constantly grown between 3% and 4% annually. This stability makes it a safe haven for international capital.
The Strategic Value of Investing and Moving to Paraguay for Expats
Paraguay has significantly improved its infrastructure in the last decade. The government worked hard to increase the tertiary industry. Services and the tourism industry are leading this change. Hotels, resorts, and restaurants now offer the highest quality. This makes the stay of tourists a memorable experience. More Europeans and North Americans are discovering this natural beauty. Many professionals now decide to reside here to boost their careers.
Favourable Interest Rates and Banking
Interest rates are crucial when starting a new business. Paraguay works with its banks to guarantee competitive rates for customers. Furthermore, local cooperatives offer an excellent alternative. They have less bureaucracy than traditional banks. This efficiency attracts local and foreign clients who need quick liquidity for their projects.
Positive ROA and Profitability
The Return on Assets (ROA) remains very positive in Paraguay. This indicator of profitability shows a constant and progressive increase across the banking sector. While Europe struggles with stagnation, Paraguay offers high yields on invested capital. For young professionals and retirees, the contrast is sharp. In Europe, high taxes and deductions limit your financial future. Paraguay offers a different path based on growth.
The New Residency Process (Law 6984/22)
Since 2022, the process for obtaining residence has changed. You can no longer apply for permanent residence directly. You must first obtain a Temporary Residence permit. This permit is valid for two years. After this period, you are eligible to apply for Permanent Residence. Our team at Living In Paraguay handles this entire transition for you.
Tax Advantages for Residents
Paraguay is famous for its “10-10-10” tax system. This means:
- 10% Value Added Tax (VAT).
- 10% Corporate Income Tax.
- 10% Personal Income Tax.
Additionally, Paraguay applies a territorial tax system. You only pay taxes on income earned within the country. Foreign income is generally tax-free for residents. This is a massive advantage for digital nomads and international consultants.
How to Start Your Journey
To benefit from these facilities, you should rely on experts. You will need to provide basic documents:
- Birth Certificate (Apostilled).
- Marriage or Civil Status Certificate.
- Clean Criminal Record.
- Pension Certificate (for retirees).
Living In Paraguay is the only European-certified company specializing in this field. We are registered in Estonia and guaranteed by European Union standards. Our organization assists you step-by-step with all paperwork. We even offer explorative flights. You can see your new life in Paraguay with your own eyes before making the final jump
