Index Commentary

Paraguay rises four places in the Index to rank 52 due to an increase in environmental performance. This is driven by a reduction in emissions per capita and a better quality of air and water when compared to peer countries. Paraguay’s top ranking in the environmental dimension is based on good scores in all indicators, despite high levels of energy intensity per capita. A deterioration of energy security was driven by a decrease in the wholesale margin on gasoline and by an increase in the 5 year energy consumption growth rate. Overall the weakest indicators for energy security remain the diversity of electricity production and of energy exports. Low scores in social equity are driven by high gasoline prices and low scores in providing high quality and affordable electricity access. Overall 3% of Paraguay’s population doesn’t have access to electricity. The weak contextual performance doesn’t improve. Weakest indicators remain effectiveness of government for political strength, rule of law and education for societal strength and macroeconomic stability and low credit availability for economic strength.