President Santiago Peña is actively promoting Paraguay as a destination for large-scale AI data centre investment, arguing that the country’s abundant renewable energy and regional logistics give it a competitive edge. In remarks before the Business Council of Latin America, he said Paraguay “has the conditions to aspire” to host major computing centres for artificial intelligence, thanks to clean, affordable power. 

Peña’s administration is leveraging Paraguay’s surplus hydroelectric capacity from Itaipú and Yacyretá dams to support high-energy industries. At least two AI-sector firms have already signed memoranda of understanding to establish data centres in Paraguay, tapping into underused energy allotments. 

Beyond energy, Peña is courting multinational tech firms and signalling regulatory stability. He has met with players like Nokia, AWS and Thales about ICT investments, framing digital infrastructure as central to national development. In speeches at international venues, he describes Paraguay as a “Green Technology Hub” that can host advanced R&D, data parks and research facilities.

Critics argue that institutional capacity, digital infrastructure, and human capital must scale rapidly to meet industry demands. Paraguay’s challenge is not only attracting investment but ensuring that regulatory, educational and logistical systems evolve to support it.