Paraguay’s President Santiago Peña has said he will step down, following a political crisis triggered by the collapse of a bank linked to him. In a video shared on social media, he apologised to citizens if he had fallen short, saying he never meant to betray their trust.
The turmoil began when Ueno Bank entered an insolvency process, freezing all of its operations. The bank held pensions and some other public funds, and after it collapsed this week, millions of people could not access their accounts.
Lawmakers push impeachment over conflict-of-interest claims
Lawmakers accused Peña, a shareholder until last year in the company that owned the bank, of conflicts of interest and misconduct. The lower house of congress voted in favour of pursuing an impeachment trial, which followed a request from opposition lawmakers.
In a video posted on X, Peña said his resignation was meant to protect stability, social peace and democratic institutions.
Protesters demand resignation as savers lose access
People took to the streets to protest and demanded that Peña step down. He won the 2023 election representing the ruling conservative Colorado Party, defeating a centre-left challenger.
