Updated May 2026 · 60+ terms
The glossary. Every acronym, decoded.
Paraguayan bureaucracy moves through Spanish, Guaraní, and a long list of acronyms that are never explained on the first page you land on. Here they are, all in one place, with the original source where it matters.
Identity & residency
- Cédula — Cédula de Identidad Civil; Cédula de residencia
- The Paraguayan national ID card. Every resident — citizen or foreigner — gets one. The foreigner version is called Cédula de residencia and ties to your DNM residency record. You need it to open a bank account, buy property, register a vehicle, and get a phone plan.
- DNM — Dirección General de Migraciones
- Paraguay's national migration agency. Handles all residency applications, the Migra Móvil mobile units, and the issuing of the certificado de residencia that proves your legal status. Headquartered in Asunción with offices in CDE, Encarnación, Pedro Juan Caballero and other border crossings.
- Migra Móvil — Mobile DNM unit
- DNM's mobile-office vans that travel to remote locations and the Chaco so people who can't reach Asunción can still file paperwork. Worth tracking if you live outside the Eastern Region.
- Residencia Temporal — Temporary residency
- Two-year residency. The default first stage for most foreigners. Renewable; converts to Permanente after 21–24 months of continuous holding.
- Residencia Permanente — Permanent residency
- Indefinite residency. Held for 3 years it qualifies you to apply for citizenship under Constitución Art. 148.
- Investor Pass — Pase Inversor
- Fast-track permanent residency for foreign investors. Resolución MIC Nº 283/2026 launched 17 April 2026. Four tracks (productive/SUACE, tourism, real estate, financial instruments) from US$ 70k–200k. The 5-business-day deadline applies only to MIC issuing the investor certificate (CIE); permanent residency itself is then processed by DNM and typically takes ~3–6 months.
- Antecedentes Policiales — Police clearance certificate
- The Paraguayan domestic criminal-record certificate. Issued by the Policía Nacional. Required for residency applications. Different from the Interpol certificate, which is also required.
- Declaración Jurada — Sworn declaration
- A notarised statement of truth used in place of a missing document. Ley 6984/2022 Art. 5 allows DNM to accept a Declaración Jurada when the applicant cannot reasonably obtain a foreign criminal-record certificate.
Tax authorities & taxes
- DNIT — Dirección Nacional de Ingresos Tributarios
- The merged national tax authority. Replaced the older SET (Subsecretaría de Estado de Tributación) and customs DNA in 2024. Handles all federal taxes — IRP, IDU, IVA, ISC, IRE. Online portal at marangatu.dnit.gov.py.
- RUC — Registro Único de Contribuyentes
- Paraguayan tax-ID number. Required if you earn income locally, run a business, or want a USD bank account. Issued by DNIT. Free; takes 24–48 hours.
- IRP — Impuesto a la Renta Personal
- Personal income tax. Territorial — 0% on foreign-source income (Ley 6380/2019). Domestic income taxed at 8/9/10% with a Gs. 80M (~US$ 13k) annual threshold.
- IDU — Impuesto a los Dividendos y Utilidades
- Dividend tax. 8% for tax residents, 15% for non-residents. Applies to dividends paid by Paraguayan companies.
- IVA — Impuesto al Valor Agregado
- Value-added tax. 10% standard rate; 5% on basic goods (food staples, medicine, rent on residential property). Monthly filing for RUC-holders.
- ISC — Impuesto Selectivo al Consumo
- Excise tax on alcohol, tobacco, fuels, sugary drinks.
- IRE — Impuesto a la Renta Empresarial
- Corporate income tax. 10% flat rate on Paraguay-source business income. Created by Ley 6380/2019, which abolished and replaced the former IRACIS.
- Marangatu — DNIT online portal
- DNIT's web portal for filing taxes and managing RUC. URL: marangatu.dnit.gov.py. Marangatu means 'goodness' in Guaraní.
Money & banking
- BCP — Banco Central del Paraguay
- Paraguay's central bank. Publishes the daily official exchange rate (tipo de cambio referencial). URL: bcp.gov.py.
- Gs. — Guaraníes
- The Paraguayan currency. Code PYG. As of May 2026, ~6,188 Gs. = US$ 1. Notes: 2k, 5k, 10k, 20k, 50k, 100k. Bills are colour-coded and bilingual (Spanish + Guaraní).
- PYG — ISO currency code for Guaraní
- The bank-statement code for Gs. Used in international wires, exchange listings, and Wise.
- SEPRELAD — Secretaría de Prevención de Lavado de Dinero o Bienes
- Anti-money-laundering authority. Maintains the registry of beneficial owners of Paraguayan companies. Anonymous shareholding does not exist.
- Cambios — Currency-exchange houses
- Independent FX shops (e.g. Cambios Chaco, Cambios Maxi, Sudameris Cambios). Used by most expats for retail USD↔Gs. exchange before they have a bank account. Better rates than banks for small amounts.
Business & free trade
- SUACE — Sistema Unificado de Apertura y Cierre de Empresas
- The one-stop government portal for starting and closing a Paraguayan company. Reduces what was a 90-day process to ~10 days. Required for the SUACE residency track (US$ 70k + 5 jobs).
- MIC — Ministerio de Industria y Comercio
- Industry and Commerce ministry. Oversees the Investor Pass programme (Resolución MIC Nº 283/2026), free-zone licensing, and the SUACE registry.
- Zona Franca — Free Economic Zone (FEZ)
- 0.5% single-tax regime under Ley Nº 523/95 for goods exported to third countries. Active zones in Ciudad del Este and Salto del Guairá. Replaces all national, departmental, and municipal taxes for users.
- MERCOSUR — Mercado Común del Sur
- South American customs union (Argentina, Brazil, Paraguay, Uruguay, plus associates). Paraguay is a founding member. Affects vehicle imports, driver-licence recognition, and corporate residency.
Health & social
- IPS — Instituto de Previsión Social
- Paraguay's mandatory social-insurance system. Covers healthcare for formal employees and their dependants. 16.5% employer + 9% employee on payroll. Foreign workers on local payroll are enrolled automatically.
- MSPBS — Ministerio de Salud Pública y Bienestar Social
- Public-health ministry. Runs free public hospitals and primary-care clinics. Quality is variable; most expats use private healthcare.
Culture & language
- Guaraní — Indigenous language + currency name
- The indigenous Tupi-Guaraní language. Co-official with Spanish since 1992. ~90% of Paraguayans understand it, ~40% speak it as their primary language. The currency is named after the language and the people.
- Tereré — Cold yerba-mate drink
- Paraguay's national drink — yerba mate brewed cold with ice water, often flavoured with mint, lemon verbena, or other herbs (yuyos). UNESCO Intangible Cultural Heritage since 2020. Shared from a single guampa with a bombilla.
- Ñandutí — Paraguayan needle-lace
- Traditional spider-web lace from Itauguá. UNESCO-recognised craft. The word means 'spider web' in Guaraní.
- Asunción — Capital city
- Capital of Paraguay. Population ~462k (Asunción proper, 2022 census); 2.4M including Central metro. Founded 1537. The political, financial, and educational centre of the country.
- Encarnación — Southern beach city
- Capital of Itapúa department. Riverside city on the Paraná opposite Posadas, Argentina. Beach city — popular with retirees and families. Population ~107k (2022 census).
- Ciudad del Este (CDE) — Eastern border free-trade city
- Capital of Alto Paraná department. Tri-border with Brazil and Argentina. Free-trade and commerce hub. Population ~310k.
Key laws & decrees
- Ley 6984/2022 — Residency Law
- The 2022 residency law. Defines the Standard, SUACE, and family-reunification tracks. Sets fees and document requirements. Replaced the 1996 Ley 978.
- Ley 6380/2019 — Tax Reform Law
- The 2019 tax reform. Codified the territorial principle (0% on foreign-source income), set IRP rates, created IDU, simplified IVA.
- Ley 2193/2003 — Citizenship Law
- Naturalisation procedures law. Implements Constitución Art. 148. Sets the 3-year permanent-residency requirement, Spanish/Guaraní integration test, and Supreme Court ruling.
- Ley 7052/2023 — Spain-Italy Dual Nationality Treaty Law
- Ratified the dual-nationality treaties with Spain and Italy. Citizens of those countries can naturalise as Paraguayans without losing original nationality.
- Ley Nº 523/95 — Free Economic Zone Law
- The 1995 law that created Paraguay's Zonas Francas. Establishes the 0.5% single-tax regime and the 30-year stability guarantee for users.
- Decreto 4122/2025 — DNM implementing decree
- Implementing regulation for Ley 6984/2022. Sets timelines, document specifications, and the Migra Móvil programme.
- Resolución 513/2025 — DNM technical resolution
- DNM technical resolution clarifying which apostille types are accepted and the fee schedule.
- Resolución MIC Nº 283/2026 — Investor Pass launch
- MIC resolution that launched the Investor Pass programme on 17 April 2026. Defines the four investment tracks.
- Constitución Art. 148 — Citizenship by naturalisation
- Constitutional article authorising naturalisation by 3-year residency + integration test + Supreme Court ruling.
- Constitución Art. 149 — Dual nationality
- Constitutional article permitting dual nationality, with bilateral-treaty requirement.
If you spot a missing term — or a definition that's drifted out of date — send a message via the contact links in the footer. We maintain this list by hand against the original Paraguayan sources, so corrections from people who file paperwork every week are the most valuable feedback we get.