Paraguayan President Resigns Amid Bank Collapse Crisis

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Paraguayan President Santiago Peña announced his resignation on Thursday, November 5, 2026, following the sudden collapse of digital lender Ueno Bank, which left nearly three million customers, including pensioners and public fund holders, unable to access their savings. The crisis sparked widespread protests and intensified political pressure, with lawmakers moving to impeach the president.

Resignation Amid Political Turmoil

Peña, a conservative Colorado Party leader elected in 2023 and a close ally of former U.S. President Donald Trump, stepped down hours before the lower house of Congress voted to pursue impeachment charges. The move came amid allegations of his prior business ties to the bank’s ownership group, according to BBC reports.

In a video message posted to X, Peña stated he was resigning “with the stability of our country, social peace, and the need to preserve our democratic institutions in mind.” He expressed regret for any failure and emphasized that “no public office can take precedence over the well-being of Paraguay.”

Peña also urged the protection of depositors, highlighting that behind every account were “years of effort, sacrifices and family plans.” A formal resignation letter was later delivered to Congress, where the lower house voted to pursue impeachment, reported as 78-0 or unanimous in multiple accounts. The Senate process continued, with Peña indicating he would appear to defend himself.

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@SantiPenap on X

Impeachment and Public Response

Peña acknowledged the nation’s uncertainty and stressed the importance of clarity and composure during the impeachment proceedings. He vowed to defend himself with arguments and evidence, respecting the Constitution and the Republic’s institutions.

“Even if they have already made up their minds, I will exercise that right,” he said. “Not out of personal pride, but because being accountable and providing explanations is also a responsibility to the Paraguayan people.”

He also emphasized the need to prioritize the recovery of savings for affected families, stating that the debate over his remaining in office should not delay solutions for those impacted.

Peña called on the public to maintain calm and peace, assuring that their demands would be addressed with respect, clear information, and concrete action. “My personal fate is not above Paraguay,” he concluded. “Whatever the outcome of this process, I will act with responsibility and respect for the Constitution.”

Source: The Gateway Pundit