Governorate of Paraguay Governorate of Paraguay The Governorate of Paraguay (), originally called the Governorate of Guayrá, was a governorate of the Spanish Empire and part of the Viceroyalty of Peru. Its seat was the city of Asunción; its territory roughly encompassed the modern day country of Paraguay. The Governorate was created in December 16, 1617 by the royal decree of King Philip III as a split of the Governorate of the Río de la Plata and of Paraguay into its respective halves. The Governorate lasted until 1782, after which the massive Viceroyalty of Peru was split, and Paraguay became an intendency ("intendencia")
Paraguay Estigarribia air base, a sprawling complex built in 1982. Paraguay consists of seventeen departments and one capital district ("distrito capital"). It is also divided into 2 regions: The "Occidental Region" or Chaco (Boquerón, Alto Paraguay and Presidente Hayes), and the "Oriental Region" (the other departments and the capital district). These are the departments, with their capitals, population, area and the number of districts: The departments are further divided into districts ("distritos"). The macroeconomy in Paraguay is characterized by a historical low inflation rate – 5% average (in 2013, the inflation rate was 3.7%), international reserves 20% of GDP and twice