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Weekly Report - 08 July 2010 (WR-10-27)

PARAGUAY: Lugo presents annual report to congress

President Fernando Lugo gave his state-of-the-nation address to congress on 1 July. Lugo was able to laud Paraguay's impressive economic recovery but the substance of his address differed very little from last year's. In a tacit acknowledgement of this fact, Lugo claimed that two years were not enough to overcome the structural problems he had inherited from the long-ruling Partido Colorado (PC), some of which he said were “obsolete and anachronistic". He has a point but the main reason many of his big reforms - land, political and judicial - have advanced at a snail's pace is his permanent power struggle with congress. While that impasse remains, it is difficult to see Lugo's third or fourth addresses changing much.

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