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IDB Invest and the New Push for the Private Sector in Paraguay

Imagine investing in a portfolio of projects in a country with sustained economic growth, low inflation, abundant clean energy, and preferential access to a regional market of 270 million consumers. That country is Paraguay, where IDB Invest has committed to mobilizing up to $1 billion to support strategic private-sector projects that drive sustainable development.

James P. Scriven, CEO of IDB Invest, speaking at the Invest Forum Paraguay 2025.
James P. Scriven, CEO of IDB Invest, speaking at the Invest Forum Paraguay 2025. · IDB Invest

 

The Invest Forum Paraguay 2025, which brought together more than 500 business leaders and authorities in Asunción, confirmed the private sector’s determination to accelerate this growth agenda. IDB Invest is a trusted partner in this process because it shares risks, mobilizes resources, and structures impactful projects.


Paraguay is a strategic country for IDB Invest thanks to its macroeconomic strength, the dynamism of its private sector, and a favorable environment for investment and productive development. Since 2016, IDB Invest has supported Paraguay’s progress through a financing portfolio of $1.97 billion, consolidating a long-term relationship with the private sector.

Building on this foundation, IDB Invest is entering a new stage of strategic investment, aiming to mobilize an additional $1 billion in the coming months to strengthen competitiveness and help accelerate economic growth.

The Invest Forum Paraguay 2025 focused on showcasing the country’s potential to drive productive and sustainable growth through strategic sectors — agroforestry, infrastructure, energy, and micro, small, and medium-sized enterprises (MSMEs).


Throughout the event, participants explored concrete opportunities to strengthen competitiveness, expand the productive base, and capitalize on the country’s key advantages — macroeconomic stability and clean energy.

The forum aligned priorities and identified areas for collaboration to expand the private sector’s reach, with IDB Invest as a key partner.

 

Strategic Sectors for Investment

 

IDB Invest’s Business Model


IDB Invest’s new business model, originate-to-share, identifies business opportunities with high impact potential, supports their structuring, and offers them to commercial investors. This approach allows IDB Invest to act as an anchor partner and facilitate the participation of investors, banks, and other debt market players in projects.


By sharing its investments, IDB Invest frees up resources, reinvests them in new impact initiatives, and contributes to the development of local markets that can autonomously and sustainably mobilize private capital.

 


IDB Invest: A Catalyst for Opportunities in Paraguay


Over the past nine years, IDB Invest has played a key role in identifying and supporting strategic projects in Paraguay, providing comprehensive financial solutions.
 

 


Transport


A notable example is the $219 million bond that financed the development of one of Paraguay’s main road corridors — Routes 2 and 7 — through the country’s first public-private partnership (PPP). This project laid the foundation for a new concession model in which IDB Invest can act as a facilitator for future transport infrastructure projects.

 


Agribusiness


Since 2019, IDB Invest has financed Tecnomyl, supporting increased production of agricultural inputs, strengthening supply chains, and the company’s expansion into new markets, including Brazil and Bolivia.

 


Forestry


In the forestry sector, IDB Invest signed a mandate with Paracel S.A. to assess the construction of an industrial hub to boost sector development. This project is expected to generate approximately 7,000 direct and indirect jobs.

 

MSMEs


MSMEs are the cornerstone of Paraguay’s sustainable growth, generating 70% of the country’s formal employment. That is why IDB Invest has supported them since it arrived in the country, through financing channeled via local partners — financial institutions, cooperatives, funds, and fintechs.


In this process, Bancop has been a key partner: IDB Invest has provided long-term capital to expand MSMEs’ access to credit, complemented by technical assistance and digital tools that boost their productivity and growth.

 

A Trusted Partner


Paraguay’s dynamic private sector, driven by a favorable business and investment environment, makes the country a strategic market for our operations in the region.


For nearly a decade, we have built a strong and trusted relationship with Paraguay’s business community, enabling us to scale development opportunities and contribute to a growth agenda in this new investment phase.


Our team of specialists in Paraguay works closely with clients, offering innovative financial solutions for strategic projects that generate impact and respond to the country’s priorities.


 

 

Authors

Gian Franco Carassale

Gian Franco Carassale es oficial líder de inversión en BID Invest. Posee amplia experiencia en el análisis, estructuración y financiamiento de proy

Alonso Chaverri Suárez

Alonso is the Inter-American Development Bank (IDB) Group Representative in Paraguay and Vice Chairperson of the IDB Group Sanctions Committee. A C

Financial Institutions

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