Paraguay's central bank increases 2016 GDP growth forecast to 4 percent

The Central Bank of Paraguay (BCP) on 25 October 2016 increased its growth forecast for the country to 4 percent from the previous 3.5 percent it had predicted in July 2016. This marked the third positive revision to its forecasts during 2016, confirming the positive trends mentioned recently by government officials (ABC Color). Industry, construction and trade were identified as the key drivers behind this dynamic growth, with the agricultural sector slightly lagging. The BCP's forecasts are broadly in line with those of other institutions, such as the UN's ECLAC, or Brazilian bank Itaú. The IMF and World Bank, however, maintain their predictions of 3 to 3.5 percent GDP growth for 2016 (La Nación).