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Economy / Paraguay


September 2010 | Risk Summary

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President Fernando Lugo has ousted the military's top leaders for the fourth time since taking office in 2008. The last shakeup, in November 2009, came after rumours of a potential military coup against the president surfaced, and it is suspected that the recent dismissals are an attempt by Lugo to shore up personal support in the face of waning public approval ratings and increasing discontent among the opposition. Paraguay's tenuous political stability is also being threatened by President Lugo's regular absences to receive treatment for recently diagnosed lymphatic cancer.