Paraguay’s Senate is scheduled to hear President Santiago Peña’s defense on Friday as it considers impeachment allegations tied to Ueno Bank and other matters. (Foto: Instagram)
Paraguay’s Senate is scheduled to resume impeachment proceedings against President Santiago Peña on Friday, Nov. 6. The lower house approved opening the case even after Peña had asked to resign. The allegations include a conflict of interest tied to his former relationship with the group that controlled Ueno Bank.
On Thursday, Nov. 5, the Senate heard from seven lawmakers who presented the accusations against Peña. They allege that he favored Grupo Vázquez, which controls Ueno. Peña held shares in the group until March 2025. He is also accused of failing to ensure adequate oversight by the Central Bank of Paraguay. The bank’s previous president, Carlos Carvallo, had led the digital bank until 2023.
The allegations also hold Peña responsible for damage to confidence in the country’s financial system. He is further accused of allegedly interfering improperly in the IPS, the institution that administers workers’ pensions and health care. Ueno Bank managed nearly 4.5 billion Brazilian reais in public funds, including pension money. The case also includes indications of possible illicit enrichment.
The Central Bank of Paraguay ordered Ueno Bank’s resolution on Tuesday, Nov. 3, citing a serious deterioration in the institution’s solvency ratio. The bank had 2.9 million customers, equivalent to about 40% of Paraguay’s population.
Following the central bank’s decision, thousands of people took to the streets to call for Peña to leave office. A group of lawmakers filed an impeachment petition on Wednesday, Nov. 4. The next day, Peña announced his resignation in a social media video, saying, “No position can be more important than the well-being of Paraguay.” The lower house nevertheless approved opening the impeachment process, which moved to the Senate. Senators began the proceedings on Thursday.
The Senate summoned Peña to present his defense on Friday. Afterward, lawmakers are expected to review evidence, hear arguments from both sides, and hold a roll-call vote.
