BUENOS AIRES (Standard&Poor's) March 30, 2016--Standard&Poor's Ratings Services today assigned its 'BB' issue rating on the Republic of Paraguay's unsubordinated issuance of US$600 million bonds due in 2026. It will use the proceeds to finance new infrastructure and investments, as well as to refinance existing debt. The long-term rating on Paraguay remains 'BB', with a positive outlook. Our ratings on Paraguay reflect its sound economic performance, anchored by prudent macroeconomic policy and strengthening economic institutions, as well as steps it is taking to boost infrastructure. These factors are balanced by Paraguay's still-developing political institutions that will continue to challenge the government's ability to implement its agenda. President Horacio Cartes' Administration will continue facing resistance from within
