The capital of Paraguay is Asunción. Situated along the eastern bank of the Paraguay River, Asunción is not only the political capital but also one of the largest cities in the country. Founded in 1537, it has a rich historical heritage and serves as the administrative, cultural, and economic center of Paraguay. The city features a mix of colonial architecture and modern developments, along with numerous parks, educational institutions, and cultural venues. Asunción also serves as a hub for commerce and trade, connecting Paraguay with neighboring countries.