Paraguay President Peña resigns under mounting pressure from bank collapse
The central bank seized Ueno Bank after regulators found its capital below the legal minimum and moved to repay depositors through a state fund.
- On Thursday, Paraguayan President Santiago Peña resigned in a video address, stating he acted "with the stability of our country, social peace and the need to preserve our democratic institutions in mind."
- The crisis erupted after Paraguay's central bank seized Ueno on Tuesday, discovering solvency ratios below 50% and risky insider lending tied to the bank's owners, while lawmakers accused Peña of conflicts of interest.
- Ueno held nearly $800 million in public funds, including state pension and health money, affecting about three million customers locked out of accounts; authorities detained eight bank executives including founder Miguel Vázquez.
- Minutes after his announcement, Congress voted unanimously 78-0 to impeach Peña, sending charges to the Senate; Vice President Pedro Alliana is expected to serve until August 2028.
- Thousands of citizens protested for three days demanding their money and calling Peña "the enemy of savers," as the collapse of Ueno shatters Paraguay's reputation for financial stability.
588 Articles
588 Articles
The President of Paraguay, Santiago Peña, announced his resignation on Thursday, in the aftermath of a scandal in the country's banking sector....
Paraguay President Pledges to Defend Himself Before Congress
Paraguay’s Santiago Peña tenders his resignation, but Congress presses ahead with impeachment
Paraguayan President Santiago Peña tendered his resignation on Thursday, cornered by the collapse of Ueno Bank, but minutes later the Chamber of Deputies unanimously voted to impeach him, in an attempt to prevent him from taking up a lifetime Senate seat with immunity from prosecution once he leaves office. The final decision rests with the Senate.
Paraguay prosecutor opens 3 investigations into Ueno Bank crisis
ASUNCIÓN, Paraguay (AP) — Paraguayan President Santiago Peña is under criminal investigation following the collapse of a major digital bank, prosecutors announced, following the South American leader’s resignation and impeachment Thursday. The crisis at Ueno Bank turned Peña’s long-ruling Colorado Party against him, a stunning reversal for the former International Monetary Fund economist who had […]
The Star Democrat
Unrest in Paraguay as president steps down, in photos
ASUNCIÓN, Paraguay (AP) — Paraguayan President Santiago Peña announced his resignation after the collapse of a major digital bank tied to his government triggered widespread protests, froze millions of people’s savings and cost him the support of his own party.
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