The central bank of Paraguay left its key monetary policy interest rate steady at 4 percent on January 23rd 2020, saying the current policy stance remains appropriate to reach the 4 percent target for the inflation. The central bank noticed that geopolitical tensions between the US and Iran have moderated and that the Phase One deal between China and the US had a positive impact on investors’ risk appetite. Interest Rate in Paraguay averaged 5.84 percent from 2010 until 2020, reaching an all time high of 8.50 percent in August of 2011 and a record low of 3.50 percent in November of 2010. source: Banco Central del Paraguay
Interest Rate in Paraguay is expected to be 3.75 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Interest Rate in Paraguay to stand at 3.50 in 12 months time. In the long-term, the Paraguay Interest Rate is projected to trend around 3.50 percent in 2020, according to our econometric models.