The key facts

  • Paraguay's President Santiago Peña announced his resignation in a video address on X
  • The cause was the crisis around Ueno Bank: the bank's solvency ratio fell below 50% of the minimum required
  • The Central Bank of Paraguay began a resolution procedure; depositors' protests were accompanied by clashes with police

The President's Resignation

Paraguay's President Santiago Peña announced that he is resigning. He published a video address on his X account, reports Gazeta.Ru.

The Cause of the Crisis

The political crisis was triggered by a scandal surrounding Ueno Bank. According to the outlet, the Central Bank of Paraguay initiated a resolution procedure after it emerged that the financial institution's solvency ratio had fallen below the critical level — less than 50% of the minimum required. The situation was exacerbated by mass protests by depositors demanding the return of their funds and punishment of those responsible for the bank's collapse; the demonstrations were accompanied by clashes with police and demands for the president's immediate resignation.

What Remains Unknown

The report does not specify when the resignation will take effect, who will assume the post of president, or how the issue of returning depositors' funds will be resolved. These details remain unknown as of the time of publication.