Compared to the immigration hurdles in Europe, Paraguay offers an easy alternative. It welcomes investors who are willing to learn Spanish and join the local society. Entrepreneurs and skilled professionals will certainly find a place for themselves under the sun of Paraguay. Ten years ago, getting Paraguayan citizenship was exceptionally easy, even with no investment programs in place. In 2024, the rules are stricter but Paraguay still boasts pretty liberal immigration laws.
Paraguay is likely to seduce you with its comfortable lifestyle. Low grocery prices, good infrastructure, affordable housing, and fun activities – you name it. Local wages are similar to some Eastern European regions and expats with online work or retirement income enjoy a life of quality here.
One of the significant factors influencing the cost of living is housing. In Paraguay, the real estate market generally offers affordable options, whether one chooses to rent or purchase a property. As of 2023, the average monthly rent for a one-bedroom apartment in the city center used to be approximately USD 300 to USD 400, while dropping to around USD 200 to USD 300 in the outskirts. Property prices also remain relatively reasonable, with a square meter in the city center averaging between USD 1,000 and USD 1,500. Outside the city, the price can be as low as USD 700 to USD 1,000.
Local utility costs are also unlikely to make you come down to begging. As of 2023, the average monthly bill for electricity, heating, cooling, water, and garbage for a standard 85-square-meter apartment was USD 50 to USD 80. Paraguay uses renewable energy sources, e.g., hydroelectric power, which makes electricity cheaper than in many other regions. The jurisdiction also comes with efficient public services, keeping water and garbage fees low. These affordable utility costs help residents save money and live comfortably in Paraguay.
Food and groceries
Food prices are another crucial factor when considering the overall expenses of living in a foreign country. In Paraguay, they are generally lower than those in many Western states. Basic food items including rice, beans, and vegetables are affordable, making it possible for residents to maintain a cost-effective yet nutritious diet. On average, a monthly grocery bill for a single person is likely to range from USD 150 to USD 200, depending on personal preferences and dietary habits.
Getting around in Paraguay is both accessible and budget-friendly. Public transportation, including buses, is a cost-effective way to navigate cities and towns in this country. On average, you will pay USD 20 to USD 30 for a monthly transportation pass. For those who prefer owning a car, fuel prices are relatively reasonable, averaging around USD 1.20 to USD 1.50 per liter. Another bonus of the jurisdiction is that the overall cost of vehicle maintenance and insurance tends to be lower compared to lots of Western jurisdictions.
Access to quality healthcare is a critical consideration when you evaluate the costs of living in any state. Paraguay has made strides in providing affordable healthcare services. The country comes with a mix of public and private healthcare facilities, with costs significantly lower than those in various developed nations. Monthly health insurance premiums for an individual range from USD 30 to USD 50, offering comprehensive coverage and access to a network of hospitals and clinics.
For those with children, the cost of education is a significant factor. In Paraguay, you will come across a mix of public and private schools, with tuition fees varying based on the institution’s reputation and location. As of 2023, the average monthly cost for private primary and secondary education was approximately USD 150 to USD 300 per child. Higher education costs may vary, with tuition fees for universities ranging from USD 1,500 to USD 3,000 per academic year, depending on your chosen study program.
Entertainment and leisure
Paraguay boasts a rich cultural heritage and offers a range of entertainment and leisure activities. Whether it’s enjoying local cuisine, attending cultural events, or exploring the country’s natural beauty, there are plenty of affordable options for recreation for both locals and tourists. Dining out at a mid-range restaurant might cost around USD 15 to USD 25 per person, while a cup of coffee in a local café could set you back around USD 2 to USD 4.
Prices for clothing, personal care items, and communication services contribute significantly to the overall cost of living. Clothing prices in Paraguay are generally reasonable, with local and international brands available at various price points. Personal care items and toiletries are also not expensive, with price ranges matching those in neighboring states. A mobile phone plan with data and voice services will cost you in-between USD 15 and USD 30 per month, depending on the selected package and service provider.
Salaries and mortgages
Paraguay is a cheap country to live in, with average monthly salaries ranging from USD 500 to USD 800 for many workers and office employees. The low incomes are balanced by the low mortgage costs, making it easier to buy a home. Mortgage interest rates in Paraguay are currently 6% to 10%, and the monthly payment for a 30-year loan on a medium-sized property is USD 300 to USD 500. This mix of fair salaries and mortgages helps the country’s economy and lets people own a home without too much debt.
In summary, a unique country in South America, Paraguay boasts a high quality of life, low cost of living, and safety. Its tax system favors residents, only taxing income earned in the country. Considering the country’s growing economy and a wealth of business opportunities therein, Paraguay is also a great place to invest. It may also be your backup plan, if you need one, as Paraguay offers citizenship after only three years of residency with low presence requirements. Would you like to change your life with safety, affordability, tax savings, and easy citizenship? Come to Paraguay!
Are you already contemplating the move? To make your journey to obtaining permanent residency in Paraguay easy and issue-free, take the line of least resistance and trust your worries to professionals. The International Wealth team and our trusted partners are always here to help!