How to get Paraguay permanent residence by investment: step-by-step guide

Paraguay invites foreign investors to become permanent residents of the country. The investment programme is operated by the “Unified System of Opening and Closing Companies”, or SUACE. The system was launched in 2013 to boost business development in the country.

A participant of the SUACE programme is obliged to open a company and invest in it at least $70,000. Additional fees for filing an application, creating and registering a company, and getting a residence card are around $14,000.

How to get Paraguay permanent residence by investment

Investors obtain permanent residence in just three months instead of the regular 2‑year term for other foreigners looking to move to Paraguay.

To qualify as a participant in the SUACE business residency programme, an investor should have no criminal record, open a company in Paraguay, and put in at least $70,000.

The applicant does not need to invest the whole amount at once or confirm the sum is available in their bank account. It is enough to show a business plan according to which the applicant will invest this amount in the development of the company over 10 years.

If the terms of the business plan change, a representative of the SUACE programme may extend it upon request. An investor must keep up with the plan to avoid losing the residency.

Family members of the investor can also apply for residency. They are:

• a spouse;

• minor children;

• unmarried children under 30 years old that depend financially on the applicant;

• unmarried siblings of the main applicant.

1. Opportunity to live in Paraguay. Residents stay in the country as much as they want. Also, investors with permanent residency can enter Paraguay freely at any time, even if the borders are closed.

2. Access to social benefits. A resident gets a local ID card called Cedula, which allows them to get the most rights of a citizen of Paraguay. This includes opening bank accounts, getting medical health, and studying in local educational institutions but excludes voting in elections. You may also enter and leave the country freely.

3. A clear path to citizenship. An investor with a status of permanent resident can apply for Paraguay nationality. To obtain citizenship, you need to reside in the country for at least three years, know either Spanish or Guarani language, and provide proof of your investments.

4. Low investment requirements. To get permanent residency, investing a minimum of $70,000 is required. There is no need for a lump sum — the money can be distributed over 10 years.

For comparison, you are required to spend at least $525,000 to get an investor visa in neighbouring Uruguay. The minimum investment requirement for Cyprus permanent residency, one of the affordable programmes in Europe, is €300,000, which should be paid for lumpsum.

5. Tax exemptions. Residency in Paraguay may help you reduce the tax burden. There are no foreign income, inheritance, and property taxes. The tax rates for VAT, corporate, and personal incomes are 10%. For example, the average tax rate of VAT in the European Union is 21%.

6. Safe haven. Paraguay has emerged as a safe haven for investors due to its stable economic and political environment. The country has implemented various reforms to attract foreign investment, offering incentives such as tax breaks, streamlined business procedures, and legal protections. Paraguay’s strategic location, abundant natural resources, and growing market potential make it an attractive destination for investors.

7. Affordable cost of living. In the capital of Paraguay, Asuncion, the estimated monthly living cost is $466 for one person and $1,646 for a family of four without rent. Renting a single-bedroom apartment in the city centre costs around $370, and a three-bedroom apartment — approximately $730. It has one of the lowest costs of living in America.

8. An opportunity to conduct business in Latin America. Paraguay is a member of MERCOSUR, together with Argentina, Brazil, and Uruguay. It is a free-trade zone, so a Paraguayan citizen can conduct business in more economically developed Latin American countries and export goods and services there without customs duty.

9. Cryptocurrency opportunities. Paraguay is the only country in the world that produces 100% of its energy from hydropower plants. Clean energy attracts cryptocurrency companies. In 2023, at least two big miners, Bitfarms and Pow.re signed contracts in Paraguay to produce energy from hydropower plants. The legislation on cryptocurrency in the country is yet to be adopted.

10. Warm climate. The average temperature in Paraguay throughout the year is +20…25 °C. Summers last from October to March and are hot and rainy, while winters from June to August are mild and do not decrease lower than 16 °C.

11. Appealing culture. Traditions are honoured here: carnivals are held annually, Nyanduti lace is woven, and the majority of the population speaks the language of the Guarani indigenous peoples. There are ruins of colonial buildings of the 17th and 18th centuries in the country.

An investor applies for a residence permit and a business permit at the same time. You need to collect and submit documents personally to the SUACE programme office in Asuncion.

The list of documents includes:

• an international passport with a visa to Paraguay if needed;

• a birth certificate;

• a marriage certificate if applicable;

• a certificate of no criminal records from the country of residence of the applicant;

• a certificate of no criminal records from the police in Paraguay;

• a certificate of no criminal records from Interpol issued by the regional department in Asuncion;

• 6 colour photos;

• a Certificate of Life and Residence issued by the police department of a neighbourhood where a resident is going to live.

The SAUCE office may request some additional documents. The documents must be translated and certified with an apostille or by the Paraguayan embassy in the issuing country. Immigrant Invest lawyers help the applicant at all stages of filing documents.

As a retiree. If a monthly retirement income exceeds approximately $1,022, a retiree can qualify for retirement in Paraguay to obtain permanent residency, regardless of age. They have to be in good health.

As a worker. A professional may get residency in the country. First, they should apply for a temporary permit. It is valid for two years, and during that time they should find a job, start a business, or have other kinds of activity: science, art, education, or sport. Two years later, they may get a permanent residence if you prove your ties with the Paraguayan economy.

With savings. There used to be an option of obtaining a permanent permit to reside in Paraguay by depositing $5,000 in a local bank. However, a recent law cancelled this. Now, it is possible either by investing at least $70,000 or obtaining a temporary permit for two years first.

After three years of residing in Paraguay, an investor may apply for citizenship by naturalisation.

Eligibility criteria to become a Paraguay citizen:

1. Be over 18 years old.

2. Staying in the country for at least 183 days per year for three years prior to the application.

3. Keeping up with a business plan of investments.

4. No criminal record.

5. Knowledge of one of Paraguay’s official languages: Spanish or Guarani.

6. Knowledge of the national anthem, politics, and history of the country.

With a Paraguay passport, you can travel to 141 countries visa-free, including the European Union, the UK, Japan, Canada, and Australia. A Paraguay citizen may also get a 5-year nonimmigrant business E‑2 visa to the country.

A list of documents for citizenship:

• an international passport;

• a Paraguayan ID card;

• a birth certificate;

• a medical certificate;

• a certificate of marriage if applicable;

• certificates of no criminal record from the police of Paraguay and Interpol;

• proof of investment according to the business plan;

• an affidavit issued by the Supreme Court;

• a bank statement.

The documents should be submitted to the Paraguayan Migration Service in person. It may ask for some additional documents. A citizenship application can be considered for up to a few years.

Paraguay recognises multiple citizenship, so foreigners do not need to give up their first nationality.

1. An investor may get permanent residency by participating in the SUACE business residency programme. To take part, you need to create a business plan that includes creating a new company and placing at least $70,000 in it over 10 years.

2. It normally takes 90 days to get permanent residency in Paraguay. Fees are around $14,000.

3. Permanent residence in the country allows an investor to secure a safe haven and get most of the rights of a citizen: opening bank accounts, receiving medical care, and education. Residents also get to conduct business in MERCOSUR countries: Argentina, Brazil, and Uruguay.

4. After three years of residing in Paraguay, an investor may apply for the country’s passport by naturalisation. To do that, they have to prove the fact of the investments, learn Spanish or Guarani, and learn the national anthem, politics, and history. The process of getting a Paraguay passport can take up to a few years.