Paraguay - Banking SystemsParaguay - Banking Systems
Banks and finance companies are regulated by the Banking Superintendent, which is housed within, and is under the direction of, the Central Bank of Paraguay. Although deposits are supposed to be guaranteed up to 138 million Guaranis (approximately $21,436 as of May 2019), the Deposit Insurance program does not have a legal framework to implement the deposit protection. The Central Bank operates autonomously, although it is not truly independent because it needs the Treasury to capitalize it.
The financial sector regulated by the Central Bank also includes eleven finance companies dedicated to smaller consumer operations not served by banks. The banking system operates mostly on short- to medium-term credit (twelve months is the usual maximum for commercial transactions, although private financing for vehicles and homes is available on longer terms) in both local and foreign currency.
There is also a large credit union sector in Paraguay, which is self-regulated and does not fall under the purview of the Central Bank. Credit unions could hold as much as one-third of total financial system assets, but their assets are not included in Central Bank data.
Prepared by our U.S. Embassies abroad. With its network of 108 offices across the United States and in more than 75 countries, the U.S. Commercial Service of the U.S. Department of Commerce utilizes its global presence and international marketing expertise to help U.S. companies sell their products and services worldwide. Locate the U.S. Commercial Service trade specialist in the U.S. nearest you by visiting http://export.gov/usoffices.
The financial sector regulated by the Central Bank also includes eleven finance companies dedicated to smaller consumer operations not served by banks. The banking system operates mostly on short- to medium-term credit (twelve months is the usual maximum for commercial transactions, although private financing for vehicles and homes is available on longer terms) in both local and foreign currency.
There is also a large credit union sector in Paraguay, which is self-regulated and does not fall under the purview of the Central Bank. Credit unions could hold as much as one-third of total financial system assets, but their assets are not included in Central Bank data.
Prepared by our U.S. Embassies abroad. With its network of 108 offices across the United States and in more than 75 countries, the U.S. Commercial Service of the U.S. Department of Commerce utilizes its global presence and international marketing expertise to help U.S. companies sell their products and services worldwide. Locate the U.S. Commercial Service trade specialist in the U.S. nearest you by visiting http://export.gov/usoffices.