Statistics Institute: More Than 213,000 People In Paraguay Emerged From Poverty

Paraguay has recorded a significant decrease in its national poverty rate, which fell from 19.6% to 16.0% between 2024 and 2025. According to updated data presented by the National Statistics Institute (INE), this reduction means that approximately 213,164 people have emerged from poverty. These figures are part of the Monetary Poverty Indicators, which are based on the results of the Continuous Permanent Household Survey (EPHC).

The decline in poverty incidence was observed in both urban and rural areas across the country. In urban centres, the rate saw a substantial drop of 3.3 percentage points, moving from 16.9% to 13.6%. Rural regions experienced an even more pronounced reduction of 4.2 percentage points, with the poverty rate falling from 26.3% to 22.1%.

Widespread improvements across the nation

During the presentation of the data, the national director of statistics, Iván Ojeda, commented on the broad scope of the improvements. He highlighted that the positive trend was not confined to specific regions but was a nationwide phenomenon. This indicates a general uplift in economic conditions affecting various communities where people emerged from poverty.

Ojeda attributed the positive results to a key economic factor. He explained that the labour and non-labour incomes of lower-income households increased at a rate that surpassed the rise in the cost of the basic consumer basket, which includes both food and other essential items. This crucial development, he stated, directly contributed to the reduction of monetary poverty.

The director also emphasised the role of government initiatives in cushioning the population against economic hardship. According to the analysis, social policies implemented by the government were instrumental in preventing an additional 239,000 people from falling into poverty. Moreover, these programmes were credited with keeping approximately 150,000 individuals from slipping into extreme poverty.

Alongside the fall in general poverty, the rate of extreme poverty at the national level also showed a significant reduction of 1.3 percentage points between 2024 and 2025. This important indicator decreased from 3.7% to 2.4% of the population. This decline was also reflected in both urban and rural settings. Urban areas saw a 0.8 percentage point reduction, from 1.9% to 1.2%, while rural areas saw a significant 2.7 percentage point decrease, from 8.2% to 5.5%.

Emerged from poverty: A closer look at the figures

The detailed data reveals that around 985,000 people currently live in households where the per capita income is below the cost of a basic consumer basket. This basket includes essential food and other goods. Of this population living in poverty, 60% reside in urban areas, while the remaining 40% are in rural areas.

In terms of extreme monetary poverty, which is defined by individuals in households with a per capita income below the cost of a basic food basket, the data shows approximately 147,000 people fall into this category. The demographic distribution for extreme poverty is notably different, with 34% of this population located in urban areas and a majority of 66% residing in rural regions.

Departmental poverty rates

The report provides a detailed breakdown of total monetary poverty incidence by department.
Concepción (28.7%),
Caazapá (25.1%),
San Pedro (24.8%),
Guairá (24.3%),
Paraguarí (23.0%),
Caaguazú (22.9%),
Itapúa (22.3%),
Canindeyú (21.7%),
Misiones (20.5%),
Ñeembucú (16.8%),
Cordillera (16.2%),
Alto Paraná (15.1%),
Amambay (14.1%),
Presidente Hayes (12.6%),
Central (9.9%),
Asunción (6.0%).