Paraguay–Brazil relations have improved greatly after Brazilian President Lula's decision in 2009 to triple its payments to Paraguay for energy from a massive hydro-electric dam on their border, ending a long-running dispute.
[102] In February 2019, Brazilian President Jair Bolsonaro praised the late military strongman of Paraguay, Alfredo Stroessner, calling him "a man of vision."
A military training agreement with Asunción, giving immunity to US soldiers, caused some concern after media reports initially reported that a base housing 20,000 US soldiers was being built at Mariscal Estigarribia within 200 km of Argentina and Bolivia, and 300 km of Brazil, near an airport which could receive large planes (B-52, C-130 Hercules, etc.)
President Lugo referenced strong regional opposition from countries such as Argentina, Brazil, Venezuela, Bolivia and Ecuador to the expansion of US military bases in Colombia in his decision.
President Lugo supported Venezuela's entry into Mercosur however the Colorado Party's influence in Paraguay's Congress and Senate retarded this expansion.
[114] In January, 2019, Paraguay cut its diplomatic relations with Venezuela, considering the Venezuelan government of President Nicolas Maduro illegitimate due to disputed election.
[143] Paraguay is a member of the following international organizations:[147] CAN (associate), FAO, G-11, G-77, IADB, IAEA, IBRD (also known as the World Bank), ICAO, ICCt, ICRM, IDA, IFAD, IFC, IFRCS, ILO, IMF, IMO, Interpol, IOC, IOM, IPU, ISO (correspondent), ITSO, ITU, ITUC, LAES, LAIA, Mercosur, MIGA, MINURSO, MINUSTAH, MONUSCO, NAM (observer), OAS, OPANAL, OPCW, PCA, Rio Group, UN, UNASUR, UNCTAD, UNESCO, UNFICYP, UNIDO, Union Latina, UNMIL, UNMIS, UNOCI, UNWTO, UPU, WCO, WHO, WIPO, WMO, WTO