# Paraguay Faces Political Crisis as President Santiago Peña Is Impeached Following Major Banking Scandal
Paraguay's Senate voted overwhelmingly to remove President Santiago Peña from office on Friday, November 6, following a major banking scandal involving the collapse of digital lender Ueno Bank. Former Vice President Pedro Alliana was immediately sworn in as the country's new president and will serve the remainder of the 2023–2028 presidential term. The crisis erupted after Paraguay's central bank seized Ueno Bank over serious financial weaknesses and concerns about its ability to meet minimum solvency requirements. The collapse disrupted access to savings and banking services for millions of customers, triggering widespread protests and public anger. Investigators are examining allegations that Peña used political influence to direct hundreds of millions of dollars in public funds toward the bank, including approximately $355 million reportedly deposited by a state pension fund beyond legal limits. Peña has denied wrongdoing. Prosecutors have also launched investigations into financial misconduct and potential conflicts of interest involving senior officials and banking executives. The crisis has extended beyond the presidential office, contributing to the departure of senior government officials and raising questions about Paraguay's financial regulatory institutions. The new administration faces immediate pressure to restore public confidence, protect depositors and stabilise the banking system. The developments could also influence investor confidence in Paraguay and broader Latin American financial markets. 
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\#ParaguayPresidentialImpeachmentAndHistoricPolitic #UenoBankFinancialCollapseAndMillionsOfCustomersF #ParaguayGovernmentPublicFundsAndAllegationsOfPo #PedroAllianaNewPresidentialAdministrationAndUrgent #LatinAmericanBankingSectorStabilityFinancialRegula
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Paraguay's Senate voted overwhelmingly to remove President Santiago Peña from office on Friday, November 6, following a major banking scandal involving the collapse of digital lender Ueno Bank. Former Vice President Pedro Alliana was immediately sworn in as the country's new president and will serve the remainder of the 2023–2028 presidential term. The crisis erupted after Paraguay's central bank seized Ueno Bank over serious financial weaknesses and concerns about its ability to meet minimum solvency requirements. The collapse disrupted access to savings and banking services for millions of customers, triggering widespread protests and public anger. Investigators are examining allegations that Peña used political influence to direct hundreds of millions of dollars in public funds toward the bank, including approximately $355 million reportedly deposited by a state pension fund beyond legal limits. Peña has denied wrongdoing. Prosecutors have also launched investigations into financial misconduct and potential conflicts of interest involving senior officials and banking executives. The crisis has extended beyond the presidential office, contributing to the departure of senior government officials and raising questions about Paraguay's financial regulatory institutions. The new administration faces immediate pressure to restore public confidence, protect depositors and stabilise the banking system. The developments could also influence investor confidence in Paraguay and broader Latin American financial markets. 
[image](https://www.google.com/s2/favicons?domain=https://www.washingtonpost.com\&sz=32)
The Washington Post+2
\#ParaguayPresidentialImpeachmentAndHistoricPolitic #UenoBankFinancialCollapseAndMillionsOfCustomersF #ParaguayGovernmentPublicFundsAndAllegationsOfPo #PedroAllianaNewPresidentialAdministrationAndUrgent #LatinAmericanBankingSectorStabilityFinancialRegula
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