Despite its economy experiencing impressive growth over the past few years, Paraguay is in urgent need of modernising its infrastructure if it is to maintain this pace of development. The country's gross domestic product (GDP) grew by more than 13% in 2013, a figure it also hit in 2010. While economic growth figures were not quite as strong in the intervening years – reduced public spending, a severe drought and foot-and-mouth disease hit the agriculture-dependent country – the Latin American nation, nestled between Brazil, Argentina and Bolivia, has been one of the few global success stories in the aftermath of the crisis. GDP growth for 2014 is expected to be about 5%, according to the World Bank.
However, deficiencies in Paraguay's infrastructure network pose a threat to this growth, especially as the country's economy relies on exports. Its roads network is badly connected and poorly paved, the rail network is virtually non-existent, and the waterways are in need of improvement to accommodate heavier cargos and cope with periods of drought.