Paraguay

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Country

Paraguay

9

Projects Incluye proyectos planeados, aprobados y cerrados

US$ 235.41 million

Total Project Cost

US$ 89.61 million

Total IFAD financing

115,370

Households impacted

The Context

Paraguay is a landlocked, upper-middle income country. Despite having a strong economy, one in four people live in poverty. 

The main causes of poverty among small-scale farmers are unstable prices, inadequate pay, low productivity, limited use of technology, lack of access to financial services and weak rural organizations. 

Women are particularly disadvantaged due to inadequate access to public goods and the deterioration of family farms as men migrate to urban areas. In many cases, their income is insufficient to cover basic needs. 

Sixty-six per cent of Indigenous People live in poverty. Many suffer from food insecurity, and a lack access to safe water, electricity and other basic services.  

Paraguay’s environmental situation is serious, with high rates of deforestation and soil degradation. Yields for the country’s major crops are expected to decline if agricultural practices are not made more sustainable. 

The Strategy

IFAD creates and strengthens rural organizations that provide members with the tools they need to manage their own development, including soil conservation practices and efficient irrigation. 

Key activities include: 

  • boosting rural people’s capacity to set up sustainable, profitable rural enterprises with access to markets; 

  • giving small-scale farmers access to financial services, including savings, credit and insurance; and 

  • strengthening resilience to climate change. 

Results-based country strategic opportunities programme (COSOP) Arabic | English | French | Spanish

Country facts

  • One in four people in Paraguay experience food insecurity. 

  • Over 80 per cent of the food consumed by Paraguayans comes from family farms.  

Country documents

Related Assets

Paraguay County Strategy Note (2024) Type: Country strategy note (CSN)
Region: Latin America and the Caribbean

Country Experts

Projects and Programmes

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Meet the rural women helping Paraguay’s communities and food systems flourish

September 2021 - STORY

Ten years ago, in Paraguay’s Capiíbary district, a group of women came together to form an association of market-sellers. Today, with the support of an IFAD-financed project, they’re thriving – and their association is now integral to local food systems.

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Investing in rural people in Paraguay

May 2016

IFAD-funded operations in Paraguay focus on empowering smallholder farmers and indigenous families by creating and strengthening rural organizations - in terms of governance, organizational administration and service capacity - to provide members with the tools they need to manage their own development.

IFAD in the MERCOSUR area

December 2008

Working to enable poor rural people to overcome poverty, IFAD operates in the MERCOSUR countries at two levels:

• at the subregional level, within the institutional framework of MERCOSUR, it promotes a platform for dialogue between governments and smallholder farmers’ associations, with the aim of increasing public investment in family farming
• at the national level, it provides funding and technical assistance to governments for the implementation of rural development programmes and projects that translate into action the agreements reached at subregional level.

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