The government in Paraguay wants to boost commercial forest use and launched various measures in this purpose at the end of 2019, as ultimahora.com and wochenblatt.cc reported.
For example, special credit conditions for an increased settlement of forest industries and a change in the law to facilitate the export of eucalyptus should serve as an incentive. The corresponding draft is to be presented in March, and is in discussion with Uruguay, Brazil and Argentina.
The National Development Bank (BNF) and the Financial Development Agency (AFD) have initiated a financing package for afforestation for commercial purposes.
The program provides funding for up to 80% of the total cost of the project, offers an interest rate of 9.75%, and applies to logging projects with a term of up to 12 years and to timber production projects with a term of up to 7 years to produce biomass. The loans granted have a term of 66 months.