1 Peso Fuerte Banco del Estado

The Banco del Estado del Paraguay was a short-lived institution, chartered in 1889 and already in deep trouble by the mid-1890s following the country's catastrophic 1893 financial collapse — a crisis that wiped out most of the private banks that had proliferated after the War of the Triple Alliance. This note was printed by Giesecke & Devrient in Leipzig, the same firm supplying paper currency to much of Latin America during this period, and was issued during what proved to be the bank's terminal phase.

The denomination "Peso Fuerte" is significant: Paraguay was attempting to distinguish hard-currency obligations from the debased paper peso circulating domestically. The distinction was largely theoretical by 1894.