In May 2025, Paraguay's annual inflation rate declined to 3.6%, down from 4.0% in April, marking a consecutive month of slowdown. The inflation landscape was mixed: while prices for some food items, imported durable goods, and services increased, they were offset by decreases in the cost of fruits, vegetables, and fuel. Food inflation decreased to 4.3% from the previous 4.9%, and inflation for goods slowed to 3.5%, a drop from 4.3%. Conversely, services inflation experienced a slight rise, moving to 3.8% from 3.6%. When horticultural products are excluded, food inflation surged to 9.4%, up from 7.9%, mainly as a result of higher meat prices. On a month-to-month basis, inflation remained stable at 0.0%, compared to 0.4% in April. Inflation for the year to date stood at 3%, which is lower than the same period last year.