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Contact Admin. Argentina km, Bolivia km, Brazil km Coastline: Cerro Pero m Natural resources: Spanish official and Guarani official Paraguay falls below the Latin American average in several socioeconomic categories, including immunization rates, potable water, sanitation, and secondary school enrollment, and has greater rates of income inequality and child and maternal mortality. Paraguay's poverty rate has declined in recent years but remains high, especially in rural areas, with more than a third of the population below the poverty line.
However, the well-being of the poor in many regions has improved in terms of housing quality and access to clean water, telephone service, and electricity. The fertility rate continues to drop, declining sharply from an average 4. Paraguay is a country of emigration; it has not attracted large numbers of immigrants because of political instability, civil wars, years of dictatorship, and the greater appeal of neighboring countries.
Paraguay first tried to encourage immigration in in order to rebound from the heavy death toll it suffered during the War of the Triple Alliance, but it received few European and Middle Eastern immigrants. Large flows of Brazilian immigrants have been arriving since the s, mainly to work in agriculture.
Landlocked Paraguay has a market economy distinguished by a large informal sector, featuring re-export of imported consumer goods to neighboring countries, as well as the activities of thousands of microenterprises and urban street vendors. A large percentage of the population, especially in rural areas, derives its living from agricultural activity, often on a subsistence basis. Because of the importance of the informal sector, accurate economic measures are difficult to obtain.
On a per capita basis, real income has grown steadily over the past five years as strong world demand for commodities, combined with high prices and favorable weather, supported Paraguay's commodity-based export expansion. Paraguay is the fifth largest soy producer in the world. Drought hit in , reducing agricultural exports and slowing the economy even before the onset of the global recession.