Between 1970 and 1976, with continued funding and personnel support from the Agency for International Development (AID), Paraguay instituted major rural educational reforms encompassing curriculum revision, teacher training and retraining, training of administrators and supervisors, new school construction, and provision of teaching materials and textbooks. Additional Regional Education Centers (RECs) were established to serve 120 primary schools enrolling approximately 160,000 students (1/3 of the total school population), two teacher training schools were planned, and 480,000 textbooks were provided to 4th, 5th, and 6th grade students. Curriculum revision at the primary level was accompanied by additional teacher training to facilitate a multisensory approach through individualized and practical learning activities. The new secondary curricula emphasized relevance, group learning, library usage, and development of critical thinking ability. Program impacts have included increased student access and retention and improved achievement. Lack of support from the government of Paraguay and dependence on donor funding continue to characterize the educational system. Six appendices present AID program features, list U.S. and Paraguayan personnel and facilities, and provide supporting tabular data. (MM)