Paraguay is preparing to implement a new institutional model that will revolutionize the long-term management of public works through the creation of the Infrastructure Policy Council (CPI). This initiative, led by the Ministry of Public Works and Communications (MOPC), aims to guarantee the continuity of strategic infrastructure projects beyond changes in government, following Chile’s successful model that has proven effective over the past three decades.
The CPI will operate as a multisectoral body composed of former presidents, university representatives, business guilds, and civil society organizations. According to Amílcar Guillén, Director of Strategic Projects at the MOPC, this mechanism will shield infrastructure planning from the political swings that have historically disrupted large-scale projects in Paraguay, particularly those requiring several years to complete.
Among the projects that will benefit from this institutional framework is the Asunción-Ypacaraí commuter train, a project valued at approximately USD 600 million and part of the 2023–2028 Infrastructure Master Plan. The train line will cover 44 kilometers with 16 preliminary stations. Technical studies are already advanced, and the prequalification of interested companies is scheduled to begin in the second half of 2024. The project will use a mixed financing scheme combining USD 150 million in state funds with private sector investment through public-private partnerships.
Strategic Projects Under Protection
The CPI will also safeguard other major initiatives such as the Bioceanic Corridor, which will connect Paraguay to Chilean ports, the modernization of Route 1—the largest contract in the country’s history—and the Chaco Aqueduct, which is currently in technical feasibility studies. Together, these projects represent investments totaling around USD 5.5 billion, according to the current master plan.
A key feature of the proposed model is the legal security it offers to private investors willing to commit to infrastructure projects over 20- to 30-year horizons. Guillén stressed that private sector participation demands assurances of continuity, which can only be provided through a solid institutional framework like the CPI. This approach aims to eliminate uncertainties related to election cycles and strengthen long-term financing mechanisms.
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Currently, the initiative is being articulated with the Paraguayan Road Chamber (Cavialpa) and other key stakeholders, as it moves toward formalization in the National Congress. The goal is not only the successful execution of projects but also the establishment of permanent institutional capacity, transforming infrastructure development into a state policy rather than a set of isolated government initiatives.
A New Era for Infrastructure Management
The successful implementation of the CPI would mark a milestone in Paraguay’s infrastructure planning, mirroring the impact seen in Chile, where the concessions system and continuity in public works policies significantly boosted the country’s economic development. Business sectors have welcomed the proposal, recognizing its potential to fundamentally transform the way major infrastructure projects are conceived and executed in Paraguay.
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