Paraguay has been a beacon of macroeconomic stability, but like the rest of the region, its average growth has moderated since 2013, which has affected the pace of poverty reduction. To accelerate growth and poverty reduction, it is important to continue to increase resilience against external shocks, productivity, and the sustainability of growth. Improving the quality and efficiency of public institutions, market efficiency, innovation, education, and infrastructure will promote economic productivity. Diversifying exports away from unprocessed commodities will strengthen economic resilience but will be a lengthy process. Meanwhile, the continued commitment to stable macroeconomic and fiscal policies, a deepened financial sector, and risk mitigation policies will increase economic resilience. Paraguay does not have to choose between profitability and sustainability: both are possible and complementary. Greener growth will yield a stronger, more prosperous economy.