Paraguayan export growth will face significant headwinds in 2015 and 2016 as its major trade partners, Argentina, Brazil and Russia, demand substantially less imports. Sluggish exports will lead to tepid headline growth in the coming years.
The G15 group of dissident Partido Colorado senators will temper President Horatio Cartes' ambitious reform agenda by watering down the proposed expansion of Paraguay's public-private partnerships with foreign businesses. A more challenging political landscape will threaten investment into the country though the remainder of Cartes' term.
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