Paraguayan ex-governor says central bank loans are illegal
Congress votes for interest-free advances amid dispute among ruling party’s factions
Paraguay’s former governor Carlos Fernández Valdovinos has criticised the government for arranging zero-interest loans for itself from the central bank.
The government of president Mario Abdo Benitez proposed the measure in its latest budget. The budget mandates the central bank to advance the government money against forthcoming tax receipts without charging interest.
Paraguay’s central bank law allows such advances, but states they must be interest-bearing. The strong criticism of the
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