Let Paraguay Be Paraguay: A Sovereign Democracy Amid Misguided Criticism

Amnesty International Attacks on Paraguay's New NGO Disclosure Law Misguided

While the headlines often focus on geopolitical hotspots in the Eastern Hemisphere, the quiet but significant developments in South America’s democracies deserve our attention. Paraguay—a landlocked yet strategically located democracy—has long been a reliable partner for the United States.

Yet, over the past four years, the Biden administration, with the tacit support of some Republicans in Congress, has waged a shadow political war against Paraguay’s conservative political leadership, including imposing economic sanctions on a former president. This misguided approach, which has even politicized economic sanctions as a tool, jeopardizes bilateral business ties and shared goals, such as building markets, strengthening regional security, and countering China’s growing influence in the Western Hemisphere.

In addition to its role as an economic partner, Paraguay faces pressing security challenges that underscore its strategic importance to the United States. The country’s porous borders and proximity to the tri-border area (TBA) with Argentina and Brazil make it a hotspot for illicit activities, including drug trafficking, money laundering, and smuggling.

Transnational criminal networks and terrorist organizations, such as Hezbollah (here is a post from me from 2010 about Hezbollah in Paraguay), exploit these vulnerabilities to fund their operations, posing threats that extend beyond Paraguay’s borders. Domestically, Paraguay has also contended with insurgent groups like the Paraguayan People’s Army, which has engaged in violence and kidnappings.

Despite these and other policy challenges, Paraguay has taken significant steps to address security concerns, including record drug seizures and implementing a national security plan. For the U.S., this partnership is vital—not only to combat organized crime and terrorism but also to ensure stability in a region increasingly influenced by adversarial powers like China.

You would think that requiring non-profits, for example, to disclose additional information on funding sources would be well received; however, the move has been criticized as a tool of repression. Paraguay’s recent passage of a law mandating greater transparency for non-profit organizations (NGOs) has drawn sharp criticism from international groups, including Amnesty International. In a press release, Amnesty labeled the law “alarming” and equated it to repressive measures in countries like Venezuela, Nicaragua, and even Russia, stating:

“It is alarming that Paraguay is following the examples of legislative frameworks that have enabled the repression of freedom of association, as seen in other countries in the region and around the world, such as Venezuela, Nicaragua, Mexico, El Salvador, Guatemala, Cuba, Hungary, and Russia, among others,” Amnesty International, Press Release (Nov. 15. 2024).