Paraguay: The Preferred Destination for Digital Nomads?Introduction

By Economist José Miguel Estigarribia Villasanti

Slovenia, E.U.

25 August 2025

In recent years, the digital nomad phenomenon has transformed how we view work and mobility. Cities like Lisbon, Bali, or Medellín have traditionally topped the charts of favorite destinations. However, a new country is rapidly gaining ground in 2025: Paraguay.

The inevitable question arises: Can Paraguay become the preferred destination for digital nomads?

Competitive Cost of Living

Paraguay offers a significantly lower cost of living compared to other popular destinations. From modern apartment rentals in Asunción to dining and services, digital nomads find that their money goes 40% to 60% further than in European or Southeast Asian cities.

Safety and Quality of Life

Asunción is regarded as one of the safest and most peaceful capitals in Latin America. Combined with the hospitality of its people, this creates an environment where nomads can live and work without the common concerns found in other emerging cities.

Growing Digital Connectivity

The country has improved its technological infrastructure. Urban areas now provide reliable Wi-Fi and an expanding selection of coworking spaces, ensuring a smooth remote work experience.

Attractive Tax Benefits and Residency

One of Paraguay’s strongest advantages is its territorial tax system: income generated outside the country is not subject to local taxes. Additionally, the process of obtaining permanent residency is more agile and flexible than in many other countries in the region.

Economic Impact: USD 63 Million Annually

A study published by RDN reveals that digital nomads generate an estimated USD 63 million annually in Paraguay. With around 3,000 digital nomads residing in the country at any given time, each person contributes between USD 1,500 and USD 2,000 per month to the economy, spending on housing, dining, transportation, entertainment, and professional services (rdn.com.py).

This flow of fresh capital comes without state dependency, boosting sectors such as the premium real estate market, hospitality, tourism, and professional services, while multiplying its impact through local job creation.

Real Estate Boom Driven by Digital Nomads

The steady growth of this community has had a direct impact in Asunción and other key cities:

• Rising demand for furnished, modern apartments, particularly in neighborhoods such as Recoleta, Carmelitas, and Villa Morra.

• Price per square meter has doubled between 2020 and 2025, fueled by the search for comfortable and well-located housing.

• Rental yields between 6% and 9% annually, reaching up to 15% in premium developments.

• Creation of coliving spaces with shared amenities such as pools and BBQ areas, replicating successful models from Berlin and Miami.

This makes Paraguay a highly attractive destination for Real Estate investment, not only due to immediate rental returns but also for its sustained potential for capital appreciation in the medium and long term.

Testimonials: Paraguay Already Ranked Number One

Paraguay’s appeal is not only an international perception: many local and foreign entrepreneurs, as well as Paraguayan citizens themselves, agree that the country has already become the most attractive destination for digital nomads.

The reasons they highlight are clear:

• Safety compared to other Latin American capitals.

• Economic and fiscal stability that attracts investors.

• Unique real estate opportunities in the region.

• And above all, Paraguayan hospitality, which makes newcomers feel at home regardless of where they come from.

Comparison with Other Destinations

When compared with traditional hubs like Lisbon, Medellín, Bali, or Mexico City, Paraguay stands out for:

• More affordable cost of living

• Safer environment

• Unique tax advantages

• A real estate boom driven by foreign demand

(Here you can insert the radar chart comparing destinations, highlighting Paraguay’s performance in cost, safety, connectivity, taxation, and investment potential.)

Conclusion

Paraguay—especially its capital, Asunción—offers a rare combination: safety, affordability, fiscal stability, and a booming real estate market powered by digital nomads. This community not only lives and works in the country but also transforms key sectors and attracts capital, consolidating Paraguay as both a favorite destination for nomads and a magnet for investors.

With the support of entrepreneurs and citizens who already recognize it as the most attractive country for digital nomads, the answer is clear: yes, Paraguay has everything it takes to become the next top destination for digital nomads and major Real Estate investors.

Want to learn more?

For more information, advice, or inquiries about investing in Paraguay and the digital nomad phenomenon, contact the Instituto IVEJM.ORG:

info@ivejm.org