# Paraguayan President Santiago Peña Resigns Amid Massive Ueno Bank Collapse President Peña steps down following a banking crisis and imminent impeachment proceedings in Paraguay. - **Source:** [Rai News](https://www.rainews.it) - **Published:** 2026-11-05 - **Topic:** [politics](https://brifing.si/c/politics) - **Original article:** - **On Brifing:** https://brifing.si/s/c0f56b4c-f404-4bcd-b84d-d6da2cc4ccd5 ## Presidential Resignation Announced Paraguayan President Santiago Peña officially announced his resignation via X to preserve institutional stability and social peace. This decision follows a severe banking crisis involving Ueno Bank, which left millions of citizens unable to access their funds. Peña faced an imminent impeachment motion supported by both opposition and his own party. ## Ueno Bank Liquidation Crisis Ueno Bank, which serves over three million clients—nearly half of Paraguay's population—has been placed under administration and liquidation. The collapse triggered widespread protests in Asunción, as desperate depositors, including many pensioners, gathered at branches. The bank reportedly managed approximately 850 million dollars in public funds, exacerbating the national financial instability. ## Political Isolation and Impeachment Peña's political standing collapsed after his own party joined the opposition's motion for a political trial. With the necessary signatures secured in Parliament, the president chose to resign rather than face a formal impeachment process. This move effectively halts the parliamentary proceedings, shifting the focus toward a transition of power. ## Leadership Transition Process Following the resignation, the Paraguayan Parliament must formally accept the departure of the head of state. According to institutional protocols, Vice President Pedro Alliana is expected to assume the presidency. The Senate will subsequently oversee the inauguration of Alliana and the designation of a new vice president to fill the vacancy. ## Legal Actions and Arrests Authorities have issued arrest warrants for eight high-ranking Ueno Bank executives, including President Miguel Vazquez, who has already surrendered to police. Additionally, Central Bank President Carlos Carvallo resigned on Tuesday at Peña's request. Carvallo’s previous professional history includes serving as the head of Ueno, which has drawn further public scrutiny. ## Emergency Financial Measures In a final attempt to stabilize the situation, Peña promulgated a law allowing depositors to withdraw a portion of their funds from guarantee accounts. Despite these efforts, the president faced intense public anger. He had previously insisted that the financial system remained solid, citing existing institutional mechanisms for depositor protection. ## Systemic Impact of Collapse The crisis highlights the fragility of institutions managing state funds, as Ueno Bank handled significant pension assets and government resources. The sudden inability of citizens to access their accounts created a liquidity vacuum, fueling civil unrest. The scale of the bank's reach means the fallout affects nearly every sector of society. ## Future Institutional Outlook The transition to Pedro Alliana marks a critical juncture for Paraguay as it navigates both a political vacuum and a financial emergency. Observers are now watching how the new administration will handle the liquidation process and restore public trust in the banking system after the collapse of such a major institution. ## Sources covering this story - [G1 – Globo — Paraguayan Political Crisis and Banking Collapse](https://g1.globo.com/al/alagoas/edicao/2026/11/05/videos-ab1-de-quinta-feira-5-de-novembro-de-2026.ghtml) - [Source — Paraguayan President Santiago Peña Resigns Amid Banking Crisis](https://www.rainews.it/articoli/2026/11/caos-in-paraguay-si-dimette-il-presidente-pea-10380868-4095-49b0-baa6-3471cd8413ab.html) - [Il Sole 24 Ore – Mondo — Paraguayan President Santiago Peña Resigns Amid Ueno Bank Collapse](https://www.ilsole24ore.com/art/paraguay-presidente-pena-si-dimette-il-caos-ueno-bank-AJ9OSV6B) - [El Mundo – Internacional — Paraguayan President Santiago Peña Resigns Amid Ueno Bank Collapse](https://www.elmundo.es/internacional/2026/11/05/6aeca3ebfdddff8b218b4595.html) --- _Summary written by Brifing from the original reporting. Copyright in the original article belongs to its publisher; read the full piece at the link above._