Paraguay President Santiago Peña resigns

What the report says

Paraguayan President Santiago Peña has resigned amid a political crisis tied to the collapse of Ueno Bank, a financial institution linked to him, according to BBC World News. The bank entered insolvency proceedings, freezing operations and leaving many customers unable to access their money. The unrest intensified after lawmakers accused Peña of conflicts of interest and misconduct because he had been a shareholder in the company that owned the bank until last year.

The BBC said the resignation followed a vote in the lower house of congress in favor of moving ahead with an impeachment trial. Peña announced his decision in a video posted on social media, saying he wanted to protect stability, social peace and democratic institutions. The outlet also reported that he apologised to Paraguayans and said he had never intended to betray their trust.

The crisis has triggered protests in the capital and other areas, with demonstrators demanding his departure after the bank collapse affected public funds, including pensions. Peña was elected in 2023 as the candidate of Paraguay’s governing conservative Colorado Party. His exit marks a major political turning point for the country, where the handling of financial oversight, public trust and the relationship between political power and private business interests are now likely to remain central issues.