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Santiago Peña resigns amid Paraguay banking crisis
Paraguayan President Santiago Peña announced his resignation on Thursday to preserve national stability and democratic institutions following the collapse of Ueno Bank. The digital lender was seized by the Central Bank of Paraguay after its solvency ratio fell below 50% of the regulatory minimum, freezing the accounts of approximately three million customers, including pensioners.
The crisis has triggered widespread political and social unrest. While Peña submitted his resignation, the Chamber of Deputies voted unanimously to proceed with impeachment proceedings against him, alleging conflicts of interest and misconduct related to his former business ties with Ueno Holding. The Senate is scheduled to conduct the impeachment trial in extraordinary sessions.
Public indignation has led to mass protests in Asuncion and other cities, with demonstrators demanding the return of their savings. The banking collapse also prompted the resignation of Central Bank President Carlos Carvallo. Investigations are underway regarding the bank's management, and several executives have been detained.
Entities
Asimcopar · Banco Central del Paraguay · Carlos Carvallo · Central Bank of Paraguay · Chamber of Deputies · Grupo Vázquez · Horacio Cartes · Instituto de Previsión Social · Liana Caballero · Miguel Vázquez · Paraguay · Pedro Acosta Bernal
Claims
What the coverage asserts, and how many sources carry each claim.
- [○ 1 SOURCE] The Social Security Institute (IPS) has approximately US$ 300 million deposited in the bank.
- [● 4 SOURCES] The deposit guarantee covers up to 228.3 million guaraníes per person.
- [● 3 SOURCES] At least eight executives linked to the bank were arrested.
- [○ 1 SOURCE] Two out of three electronic operations in multistores were conducted through Ueno Bank accounts.
- [● 27 SOURCES] Ueno Bank's solvency ratio fell below 50% of the required minimum.
- [● 40 SOURCES] The Central Bank of Paraguay intervened in Ueno Bank.
- [● 20 SOURCES] Carlos Carvallo resigned as head of the Central Bank of Paraguay.
- [● 3 SOURCES] Multistore sales dropped by 35% following the bank intervention.
- [● 5 SOURCES] Carlos Carvallo resigned from the BCP presidency.
- [● 35 SOURCES] Santiago Peña resigned from the presidency of Paraguay.
- [● 5 SOURCES] The government proposed Raúl Vera Bogado, Pedro Acosta, and Edsel González for BCP leadership.
- [● 29 SOURCES] The Chamber of Deputies approved the impeachment indictment against Santiago Peña.