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Economy / Paraguay

Paraguay

July 2011 | Ratings Update

Paraguayan president Fernando Lugo stated on 25 July that the office of the public prosecutor should proceed with an investigation on allegations made by local news sources that his first cousin, Eudocia Lugo, has used the the family name to defraud poor elderly Paraguayans of a substitute pension fund, and provoke the illegal takeover of public lands in the east of Paraguay. In our view, the president had little choice but to request an official investigation, at a time when his government coalition continues to come under pressure.

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