Paraguayan President Santiago Peña has resigned from his position, citing the need to preserve the country's stability, social peace, and democratic institutions. In a recorded video address, Peña announced his resignation, which comes amid intense pressure from the opposition and protests demanding his removal. The move follows the collapse of digital lender ueno, which left millions of customers unable to access their accounts.
The collapse of ueno, which managed close to $850 million in public funds, has led to accusations of negligence and complicity against Peña. The bank was deemed insolvent by Paraguay's central bank, and lawmakers have accused Peña of conflicts of interest, misusing pension funds, and covering up issues linked to ueno's downfall. The opposition has initiated an extraordinary session in Congress to begin the impeachment process.
Peña's departure comes as a result of growing dissent within his conservative party, with members withdrawing their support. Vice President Pedro Alliana has stepped in as Peña's successor, taking over as the country's leader. The crisis has left approximately 3 million customers of ueno unable to access their accounts in a country of 6.5 million.
The situation has sparked widespread protests, with demonstrators urging Congress to reject Peña's resignation in favor of a trial. Al Jazeera's Latin America editor, Lucia Newman, noted that Congress is currently attempting to impeach both the president and vice president. The protests are occurring outside Congress, where lawmakers are debating the next steps.
Peña has expressed his hopes that the return of funds would be secured and public resources protected. However, ueno has yet to issue a statement on the matter. The country's central bank has deemed the bank insolvent, and an investigation into the bank's collapse is underway.
The crisis has raised concerns about the regulation of digital lenders in Paraguay and the potential impact on the country's economy. The government has assured citizens that it will take steps to protect depositors' funds and maintain financial stability. The country's economy is expected to face challenges in the coming months.
The impeachment process against Peña and Alliana is expected to continue, with lawmakers set to investigate the circumstances surrounding ueno's collapse. The country's Congress will play a crucial role in determining the next steps, including potential trials for the impeached officials. Peña's resignation marks a significant development in the crisis, but the situation remains uncertain.
Key points
- Paraguayan President Santiago Peña resigned amid growing calls for his removal following the collapse of digital lender ueno.
- The collapse of ueno left approximately 3 million customers unable to access their accounts in a country of 6.5 million.
- Peña faces accusations of negligence and complicity in concealing the bank's insolvency, and an investigation into the bank's collapse is underway.
