Paraguay Poverty and Equity Assessment - Strategies to Boost Inclusive Growth and Poverty Reduction

Jul 19, 2026

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The Paraguay Poverty and Equity Assessment outlines the country’s persistent poverty and inequality challenges and identifies constraints that limit faster poverty reduction. It analyzes spatial and horizontal disparities, the characteristics of poverty linked to youth, informality, and low education, and multidimensional deprivation in services and assets. The report evaluates barriers such as human capital, quality job access, fiscal system impacts, and exposure to climate shocks, then proposes policy directions to accelerate inclusive growth and resilience.

LanguageEnglish

CategoryResearch & Report

FormatPDF

Pages86

Reading Time3 h 37 min

AccessFree to download

Contents

Acknowledgments

Abbreviations

Methodological note

Executive summary

1. Overview of the challenge

2. Which factors limit Paraguay's ability to accelerate poverty reduction?

3. How can Paraguay unlock its potential to foster inclusive growth and accelerate poverty reduction?

Appendix A. Nowcasting poverty in Paraguay

References

Public Disclosure Authorized Public Disclosure Authorized Public Disclosure Authorized Public Disclosure Authorized Paraguay Poverty and Equity Assessment: Strategies to Boost Inclusive Growth and Poverty Reduction © 2024 International Bank for Reconstruction and Development 1818 H Street, N.W. Washington, D.C. 20433, U.S.A. Teléfono: 202-473-1000 [www.worldbank.org](www.worldbank.org) [Some rights reserved.](Some rights reserved.)[ ](Some rights reserved.)October 2024 This work is a product of World Bank staff with external collaborations. The findings, interpretations, and conclusions expressed herein do not necessarily reflect the opinions of the World Bank, its Executive Directors, or the governments they represent. The World Bank does not warrant the accuracy of the information presented in this study. Nothing herein shall constitute or be considered to be a limitation upon or waiver of the privileges and immunities of The World Bank, all of which are specifically reserved. Rights and Permissions This work is available under the Commons Attribution 4.0 IGO LICENSE (CC BY 4.0 IGO) [https:// creativecommons.org/licenses/by/4.0/. Under](https:// creativecommons.org/licenses/by/4.0/. Under) the Creative Commons Attribution license, you are free to copy, distribute, transmit, and adapt this work, including for commercial purposes, under the following conditions: Any and all disputes arising under this license that cannot be settled amicably must be referred to mediation in accordance with the WIPO Mediation Rules in force at the time of publication. If the request for mediation is not resolved within forty-five (45) days of such request, either You or the Licensor may, pursuant to a notice of arbitration communicated by reasonable means to the other party, refer the dispute to final and binding arbitration to be conducted in accordance with the UNCITRAL Arbitration Rules in effect at that time. The arbitral tribunal shall consist of one arbitrator and the language of the proceedings shall be English, unless otherwise agreed. The place of arbitration must be where the Licensor has its seat. Arbitration proceedings shall be conducted remotely (e.g., via conference call or written submissions) where possible or conducted at the World Bank’s headquarters in Washington, DC. Attribution Please cite this work as directed: World Bank. (2024). Paraguay Poverty and Equity Assessment: Strategies to Boost Inclusive Growth and Poverty Reduction. Washington, DC: World Bank. License: Creative Commons Attribution CC BY 4.0 IGO. Translations If you create an adaptation of this work, please include the following disclaimer along with attribution: This is an adaptation of an original work by The World Bank. Views and opinions expressed in the adaptation are the sole responsibility of the author or authors of the adaptation and are not endorsed by The World Bank. Contents Acknowledgments 7 Abbreviations 8 Methodological note 9 Executive summary 10 1. Overview of the challenge 17 Spatial and horizontal disparities prevail despite poverty reduction efforts 27 The face of poverty in Paraguay: Young, informal, and with low levels of education 30 Behind and beyond income: Multidimensional poverty, access to services, and assets 31 2. Which factors limit Paraguay´s ability to accelerate 33 poverty reduction? Levels of human capital 35 Access to and creation of quality jobs 45 Impacts of the fiscal system on poverty 55 Exposure to climate shocks 63 3. How can Paraguay unlock its potential to foster inclusive 70 growth and accelerate poverty reduction? Improving learning outcomes and ensuring equitable opportunities in human 72 capital accumulation Increasing access to and availability of quality jobs 73 Improving the progressivity of the tax system and its revenue collection capacity 76 Increasing resilience to climate shocks 77 Appendix A. Nowcasting poverty in Paraguay 80 Refere

FAQs

What core challenges does the assessment highlight for Paraguay’s poverty and equity situation?

It emphasizes persistent poverty and inequality alongside spatial and horizontal disparities, and it profiles the face of poverty as young people in informal work with low education. It also frames poverty beyond income through multidimensional deprivation, access to services, and assets.

Which factors are identified as limiting Paraguay’s ability to accelerate poverty reduction?

The report points to constraints in human capital, limited access to and creation of quality jobs, impacts of the fiscal system on poverty, and heightened exposure to climate shocks.

What strategies does the report propose to foster inclusive growth and accelerate poverty reduction?

It proposes improving learning outcomes and equitable opportunities, expanding access to and availability of quality jobs, enhancing tax progressivity and revenue collection capacity, and increasing resilience to climate shocks.

Jul 19, 2026

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