Paraguay must make better use of its competitive advantages to attract investments

According to the portal La Nación, there is talk about Paraguay being an ideal country for investments.

In a recent international event in the country, the president of the Inter-American Development Bank (IDB) recommended investors choose to locate their operations in Paraguay.

Still, the question is what is needed for this to translate into concrete and quality bets.

Thus, in the Development in Democracy (Dende) discussion, two guests addressed aspects such as the steps to create a favorable scenario for investments for development and the insertion of Paraguay into the world.

On the one hand, the Vice Minister of Industry, Francisco Ruiz Díaz, and Jaime Eguez, president of the “Club de Ejecutivos” (Executive Club), agreed that Paraguay must make better use of its competitive advantages.

The vice-minister highlighted the structural reforms implemented in 2003 since they bore fruit, he said, but there are two important internal and external challenges that must be overcome to attract greater investment.

One is the need to guarantee access to markets, and for this, the process initiated by the Ministry of Foreign Affairs to deepen relations with other countries must be continued.

In this sense, Mercosur accounts for 80% of manufacturing exports, so he insisted on the need for the diplomatic corps to deepen the diversification of countries that allow the entry of Paraguayan products.

ASPECTS TO IMPROVE

Secondly, there is a lack of greater promotion of impact investment that can guarantee sustainability and promote social inclusion, in addition to using the energy available in the country.

At the same time, the need to approve institutional reforms, mainly related to the ecosystem that supports entrepreneurship through digitization.

Also, the inclusiveness of the model allows an industrial policy in which everyone feels they win, including the most vulnerable sectors.

“Today, we have a problem that is not easy. Everyone asks why the macro does not reach the micro. The great challenge we have in Paraguay is how to solve informality,” he said.

In turn, Eguez acknowledged that Paraguay strengthened itself in the last 20 years in different instances with solid leadership as a result of the professionalization in the State and predictability on several levels.

Still, the political sector must generate spaces, and Congress must accompany this challenge.

For the businessman, the main reason for the low foreign investment is that the country is still unknown to many.

“Paraguay must understand that it is not the domestic market that is attractive to an investor; forget about that.

“It is how we make platforms to be able, from here, to sell both to Brazil, which would be the most logical thing to do if we have a market of that size, as well as to other countries to whom it is convenient to invoice from here,” he remarked.

Thus, Paraguay can be a highly effective development hub in the high technology industries, for example, by installing centers in free trade zones while adding that as a country.

“We need to believe the truth of what we are doing, stop saying our limitations, rely on our strengths, and go forward and fast. That is the main challenge we have,” he stressed.

With information from América Retail

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