Criticism is mounting against Asunción, the capital of Paraguay, as severe administrative mismanagement cripples the city's functions. Recent social media footage of a road in the San Pablo area rendered unrecognizable by heavy rain has ignited public outrage. Drainage work in the area had been underway since June of last year but was left unfinished, leaving it completely vulnerable to the downpour.

Strong Public Dissatisfaction… "Extreme Safety Threats and Traffic Inconvenience"

Residents of the San Pablo area lament, "They said the drainage work would be finished within three months, but nothing proper has been done since June. We were at risk of our homes being flooded due to the heavy rain, and it's dangerous even to walk because of the dug-up roads and piles of dirt." Another resident complained, "They dig one side and then dig up the other again, so I don't know when it will ever end. We have to take long detours because the roads are blocked, causing significant disruption to our daily lives."

These issues are not limited to the San Pablo area. The reconstruction of the United Nations Plaza in the Mburicaó neighborhood has also been delayed for over a year, and Asunción Mayor Óscar 'Nenecho' Rodríguez has been quick to blame citizens' tax arrears or the construction companies for these problems.

Over ₩121 Billion in Tax Revenue… Neglecting Public Investment, 'Lavishing' on Personnel Costs

However, recently disclosed financial records of the city of Asunción reveal a reality contrary to the mayor's claims. In 2024 alone, the city collected 971,125,061,946 guaraníes in tax revenue, equivalent to over ₩121 billion in Korean won. This includes various taxes such as property tax, construction tax, road construction tax, vehicle registration tax, and cemetery usage fees.

The problem lies in the fact that this substantial tax revenue is not being properly invested in improving public services or expanding urban infrastructure for the benefit of citizens. According to the city's budget execution report for 2024, over ₩91 billion was spent on civil servant salaries, accounting for 76% of the total tax revenue, while the budget execution rate for public investment projects was a mere 12%. Furthermore, City Councilor Álvaro Grau pointed out that "100% of the budget was executed for debt repayment," highlighting a severe imbalance in the city's financial management.

Neglected City, ₩70 Billion Disappeared… Disaster Caused by Incompetent Administration

Consequently, Asunción is deteriorating into a dangerous city with broken roads and uncollected garbage everywhere. Despite the massive monthly salary expenditure of ₩7 billion (an annual total of ₩92 billion), citizens see little tangible change. More alarmingly, the city's remaining balance as of the end of 2024 was only 804,000,000 guaraníes, and the whereabouts of 500 billion guaraníes (approximately ₩70 billion) from previously issued bonds are unknown.

Councilor Grau warned, "Looking at the budget execution details clearly shows how incompetently and irresponsibly the city of Asunción is being managed. If this situation continues, Asunción will inevitably become a completely neglected city facing a financial crisis."

The citizens of Asunción are suffering from unclean streets, broken sidewalks, an inefficient garbage collection system, neglect of historical heritage, and constant traffic congestion. Without fundamental changes in management practices, Asunción's future looks bleak.

[Copyright (c) Global Economic Times. All Rights Reserved.]