ASUNCIÓN — The Paraguayan government is pushing for a large-scale increase in civil servants through its 2026 National Budget (PGN). According to the budget proposal submitted by the Ministry of Economy and Finance (MEF), a total of 11,105 new public positions will be added by 2026. This represents a 3.3% increase, from 334,541 to 345,646 public employees this year.

The majority of this increase will be within the executive branch, with 10,064 new positions, accounting for 93% of the total increase. The government stated that these new hires will be concentrated in "strategic" sectors such as the police, health, and military. Specifically, this includes 5,249 for the police, 3,412 for health, and 742 for the military.

During a press conference, Minister of Economy and Finance Carlos Fernández Valdovinos emphasized, "This increase is an essential measure to ensure the safety and health of our citizens. It will contribute to improving the quality of life for the people by strengthening security and enhancing medical services."

In addition to the executive branch, the budget proposal includes plans to expand personnel in various public institutions. Specifically, autonomous and semi-autonomous bodies are set to increase by 548 employees, the Central Bank by 71, the judiciary and its auxiliary bodies by 295, and the Comptroller General's Office by 13. Conversely, some institutions will see minor reductions or maintain their current staffing levels.

Repeated Large-Scale Increases Raise Fiscal Burden Concerns 

This is not the first time the Paraguayan government has planned a large-scale increase in civil servants. A similar move in the 2025 budget, which added 15,219 civil servants, had already stirred controversy. At the time, the government also emphasized that the increase was for "strategic" sectors, including more than 10,000 police officers. However, an additional 3,000 positions were added during the parliamentary review process.

These recurring large-scale increases have raised concerns about the expansion of the public sector and the fiscal burden. Some critics argue that it could lead to inefficient personnel management and a waste of public funds.

Experts point out, "While expanding personnel in the safety and health sectors is necessary, repeated large-scale increases every year could jeopardize long-term fiscal stability. It is crucial to have a more efficient personnel management plan and strict budget execution."

The budget proposal now awaits approval from the National Congress. All eyes are on what decision parliament will make amid the two conflicting demands of managing the fiscal burden and improving public services.

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