Paraguay President Peña resigns under mounting pressure from bank collapse
The resignation follows protests and an impeachment drive after regulators seized Ueno Bank, froze millions of accounts and found capital below legal minimums.
- 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.
681 Articles
681 Articles
The President of Paraguay, Santiago Peña, announced his resignation on Thursday, 5 November, on the basis of the scandal caused by the collapse of Ueno Bank, a financial institution that left almost three million customers without access to savings. However, Peña did not leave the office, because Parliament failed to complete the procedure for accepting the resignation. Meanwhile, the Chamber of Deputies approved his indictment and the Senate st…
Bank collapse takes down Trump ally in Paraguay
ASUNCION — Paraguayan President Santiago Peña, a close ally of US President Donald Trump, announced his resignation on Thursday after the collapse of a major commercial bank linked to his government plunged the South American nation into turmoil."I want to apologize to the people if at any point I failed," he said in a video message on social media. "It was never my intention to betray the trust you placed in me."The crisis erupted after Ueno Ba…
Paraguay president resigns as bank mess sparks crisis
Paraguayan President Santiago Pena has resigned after the takeover of a bank linked to the US-allied leader blocked almost half the population from accessing their money. The Central Bank's seizure of Ueno Bank two days earlier froze the deposits of some three million people, including pensioners, and sparked angry demonstrations across the country. Thousands of Paraguayans gathered outside Congress on Thursday to protest against the president, …
The crisis in the country began when one of the country's largest banks was declared insolvent. Now the president is facing impeachment.
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