Paraguay's GDP grew by 6.6% in 2025, the fastest in South America, driven by a 10.5% surge in agriculture, 10.9% growth in electricity generation from the Itaipu and Yacyreta hydroelectric dams, and broad-based expansion across all sectors. This growth has cemented Paraguay's position as one of the region's most consistent performers, with inflation at a five-year low and an investment-grade credit rating from Moody's in 2024. The fourth quarter saw 6.2% year-on-year growth driven by an agricultural surge of 20.8% as soybean harvests recovered from previous drought years. All sectors contributed to this growth, including agriculture and hydroelectric energy. Paraguay achieved its growth with inflation of 2.3% and a central bank rate held steady at 5.5%. The country's GDP growth puts Paraguay ahead of all major economies in the region, with Argentina's 4.4% and Peru's 3.4%.