Paraguay Reports 50% Increase in Residency Applications in 2025

In 2025, Paraguay reported a 50% increase in residency applications compared to the previous year, nearly 43,000 individuals filed for legal residency. For high-net-worth individuals (HNWIs), business owners, and global investors, this trend represents far more than a statistical rise. It reflects a fundamental shift in how forward-thinking individuals are building long-term strategies for mobility, asset protection, and global access.

This blog explores the factors driving Paraguay’s residency boom, what this means for international investors, and how residency, especially in well-structured, low-tax jurisdictions, is evolving into a core component of wealth strategy.

For HNWIs and entrepreneurs, residency is no longer simply about relocation. It plays a central role in:

• Tax efficiency – Jurisdictions with territorial tax systems, like Paraguay, can reduce global tax burdens.
• Asset protection – Residency in a stable and neutral jurisdiction can provide a buffer against regional risks.
• Mobility – Residency rights often lead to expanded visa-free access and easier international movement.
• Legacy planning – Families are securing residency for future generations to access better education, business opportunities, and lifestyle choices.

Residency today is part of a broader strategy, one that complements investment diversification, business expansion, and long-term security.

Paraguay processed nearly 43,000 residency applications in 2025, marking a 50% increase from the previous year. This growth reflects a rising demand for residency options that offer stability, tax efficiency, and accessibility, all of which Paraguay provides. The country’s straightforward immigration process, low cost of living, and territorial tax regime have made it increasingly attractive to internationally mobile individuals.

While Brazil and Argentina continue to lead due to proximity, 2025 saw a notable rise in applicants from countries like Germany, the United States, Russia, and the Netherlands. This growing diversity signals Paraguay’s expanding appeal beyond its region, as more investors from Europe and North America look for stable jurisdictions with favorable legal and financial frameworks.

Global uncertainty is also a contributing factor. As economic and political volatility rises in many parts of the world, investors are turning to countries like Paraguay that offer predictability and control. For many, obtaining a second residency is no longer optional, it’s part of a broader strategy to protect assets and ensure long-term freedom.

Paraguay’s upward trend in residency interest isn’t just reflected in application numbers, it’s clearly seen in the number of residencies actually issued each year. After a dip during 2020 and 2021 due to global disruptions, the country saw a dramatic rebound in 2022 and continued strength through 2025.

Here’s a breakdown of residency permits issued in Paraguay over the last seven years:

Year	Residencies Issued
2019	25,780
2020	16,217
2021	16,192
2022	37,084
2023	40,660
2024	28,464
2025	36,263

This data shows sustained high demand following Paraguay’s residency reform in 2022, with strong issuance numbers in both 2023 and 2025. The country remains an attractive and accessible option for those seeking long-term residency for strategic, financial, and personal reasons.

Several key factors are driving this trend:

1. Territorial Tax System

Paraguay taxes only income generated within the country. If your income is earned abroad, it is typically not taxed locally. This is ideal for international investors and entrepreneurs with offshore income or foreign-based businesses.

2. Simple and Accessible Residency Process

Paraguay’s residency requirements are considered relatively straightforward:

• No need for high investment thresholds
• Basic documentation requirements
• Opportunities to convert temporary residency to permanent status
• Minimal physical presence requirements

This ease of entry makes it appealing to those seeking flexibility without long bureaucratic delays.

3. Political and Economic Stability

Compared to many regional neighbors, Paraguay enjoys a stable political environment and consistent economic policy. For investors looking for predictability, this creates a favorable backdrop for residency and long-term planning.

4. Strategic Location in South America

Located between Brazil, Argentina, and Bolivia, Paraguay provides access to a large regional market while offering a more cost-effective and investor-friendly environment.

5. Business-Friendly Environment

Low corporate taxes, simple regulations, and an openness to foreign investment make Paraguay a logical base for regional operations or personal wealth management.

Paraguay’s rise is part of a wider global trend among HNWIs and entrepreneurs prioritizing optionality, control, and future access. Here’s what’s fueling that movement:

Increasing Global Uncertainty

From geopolitical tensions to currency risks, individuals are securing second residencies as a hedge against instability in their home countries.

International Wealth Mobility

The modern investor is mobile, digital, and borderless. As a result, they seek flexible residency solutions to optimize tax exposure and access new opportunities.

Family and Education Planning

A second residency often unlocks access to global education systems, healthcare, and future citizenship for children and grandchildren.

Succession and Estate Planning

Residency, especially in a stable and tax-efficient country, adds a layer of protection to intergenerational wealth transfers and long-term estate planning.

Before applying for residency in Paraguay, here are some essential factors to evaluate:

• Legal Requirements – Ensure your documentation is valid, translated, and properly certified. While the process is accessible, it must still be managed professionally.
• Tax Strategy – Confirm how Paraguay’s territorial tax system aligns with your global income profile.
• Physical Presence and Residency Conversion – Understand the difference between temporary and permanent residency and the timeline for each.
• Exit Planning – Consider how this residency fits into your broader mobility or eventual citizenship strategy.

Working with experienced legal and tax advisors is key to making the most of your Paraguay residency plan.

Paraguay’s sharp increase in residency interest highlights a growing awareness: smart residency planning isn’t just about migration, it’s about control, protection, and future access.

Whether you’re looking to diversify risk, build optionality into your legacy, or reduce exposure to over-taxation, alternative residency is a key component in a modern wealth strategy.

Paraguay, with its accessibility, tax benefits, and economic stability, now stands out as a serious option for those seeking to secure their global future.

If you’re considering second residency as part of your long-term wealth, business, or lifestyle planning, we’re here to guide you.

Get in touch today to explore whether Paraguay, or another strategic jurisdiction, aligns with your goals. Our team provides tailored, professional advice for investors, entrepreneurs, and global citizens ready to take control of their future.