Paraguay Senate Pursues Impeachment of President Santiago Peña

The Senate of Paraguay has resumed impeachment proceedings against Santiago Peña following the collapse of Ueno Bank, a digital lender with which the president had previous business ties. The financial crisis began when the Central Bank of Paraguay intervened in Ueno Bank for breaching minimum solvency requirements, an event that froze the savings and wages of millions of depositors, pensioners, and workers.

Although Peña submitted his resignation on November 6, lawmakers voted during an extraordinary meeting to proceed with the impeachment process. Opposition senators argue that accepting a resignation would grant Peña lifelong senatorial legal protections, which could shield him from future prosecution. If the Senate removes him from office, Vice President Pedro Alliana will assume the presidency.

The bank's failure has triggered a broader political crisis, leading to the resignation of the central bank governor and the arrest of eight Ueno executives. Attorney General Emiliano Rolón Fernández has launched three criminal investigations into the collapse, including allegations involving Peña and other government officials. The situation has sparked widespread protests against the ruling Colorado Party.