Paraguay’s Santiago Peña Submits Resignation Amid Ueno Bank Crisis

Paraguayan President Santiago Peña submitted his resignation on November 5 as a banking crisis involving Ueno Bank triggered political turmoil and impeachment proceedings in Congress.

The resignation came as lawmakers moved to hold Peña accountable for the crisis. However, resigning did not immediately end the political confrontation, as the Chamber of Deputies proceeded with impeachment proceedings.

Paraguay’s Chamber of Deputies approved the impeachment request with 78 votes in favour during an extraordinary session. The decision came as lawmakers presented Peña’s resignation.

Impeachment Proceeds Despite Resignation

Peña’s resignation left Congress facing a separate constitutional question: whether to accept his departure or continue the impeachment process.

The Senate was expected to have the final say on the next steps. However, the joint congressional session dealing with the resignation ended without a quorum, leaving its formal acceptance unresolved.

Local reporting by ABC Color indicated that the impeachment process would continue following the failed session.

The distinction is important: lawmakers approved impeachment proceedings, but that vote did not itself establish a final Senate decision to remove Peña from office.

Ueno Bank Crisis Triggers Political Fallout

The political crisis centers on Ueno Bank, whose collapse and subsequent intervention raised concerns about financial stability, customer access to funds and regulatory oversight.

The bank’s troubles became a major political issue, putting pressure on Peña’s administration and weakening support within his own political camp.

Reports from international media also described the crisis as affecting millions of customers and triggering wider concerns among investors.

The controversy has raised questions about the government’s handling of the situation and the oversight of the financial institution. Paraguay’s political and legal institutions will determine the extent of any responsibility.

What Happens Next?

Peña’s resignation and the impeachment proceedings have created uncertainty over Paraguay’s political leadership.

The Senate’s handling of the resignation and the continuation of impeachment proceedings are central to determining the next constitutional steps.

For now, the confirmed developments are that Peña submitted his resignation and the Chamber of Deputies approved impeachment proceedings by 78 votes. His resignation had not been formally resolved in the congressional session reported by local media.

The Ueno Bank crisis has therefore developed beyond a banking dispute into a significant political and institutional challenge for Paraguay.