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quick return on investment with fast growing economy;it is among the world's top exporters of soybean and beef, with high productivity and capacityfor expansion;strategic location in the heart of South America with free access to MERCOSUR;center of the Paraguay-Parana Waterway with free navigation throughout the year for riversea trade;good levels of quality of life and safety.Paraguay's advantages for investors include open business environment and a geographical locationconductive to business. It offers macroeconomic stability by providing a healthy environment forinvestors, including low inflation, financial stability and legal incentives for investment discussedfurther below.One of the key areas to invest in projects involving the improvement of infrastructure. As mentionedbefore, Paraguay has developed a diversified economic growth in the primary and industrial sector.Nevertheless, the country lacks of the proper road, rail, port, airport connectivity; waterway dredgingand maintenance of the rivers; social infrastructure; electrical equipment and urban development.Considering this situation, the government has recently passed the Public-Private Partnership Law inorder to promote projects in this area with favorable conditions to the private sector.Another current key area is the real estate market, a renovated business with world class hotels andapartment buildings as flag ship.3. PRIVATIZATION OF STATE ENTERPRISESEnactment of Act 1615/2000, addressing government reform and privatization of State companies,opened the way for a series of privatizations and extensive structural reforms in Governmentadministration. Earlier privatizations enabled the transition of steel, alcohol and fleet companies to theprivate sector, as well as the State airline.4. TELECOMMUNICATIONSThe sector must rely on foreign investment to level the average impact of other countries of theregion. The expansion of mobile phone services has overtaken the number of fixed lines, while othervalue-added services have also experienced outstanding growth.5Berkemeyer Attorneys and Counselors | Asunción - Paraguay