One Turn
Paraguay's president resigns and is impeached after bank collapse
President Santiago Peña resigned on Thursday, and lawmakers voted unanimously to impeach him minutes later. Ueno Bank collapsed and froze savings for about 3 million customers. Prosecutors opened a criminal inquiry into Peña, and he says he will defend himself. Protesters and police clashed outside Congress. Refunds to account holders of up to 10 million guaraníes start on November 6.
Why it matters
The crisis left about half the country without access to savings and has toppled a US ally.
Background
Ueno grew fast from a small lender to a bank with millions of customers. Critics say the government let it expand too quickly.
The story so far
- Paraguay takes over Ueno Bank, freezes deposits
- Paraguay's president resigns and is impeached after bank collapse
- Paraguay's Senate removes President Peña, who is placed under house arrest
- Paraguay's Senate removes President Peña after Ueno Bank collapse
- Paraguay's ousted president charged over bank collapse
- Paraguay appoints new central bank chief after Ueno Bank collapse
- Paraguay names new central bank chief after Ueno collapse
- Paraguay repays Ueno Bank savers; Peña faces probe
- Paraguay partly refunds Ueno Bank depositors after collapse
Sources
- BBC News ↗Nov 5, 12:40 PM ET
- NPR ↗Nov 5, 1:30 PM ET
- France 24 ↗Nov 5, 12:33 PM ET
This summary was written automatically from the reporting linked above; follow the sources for the full story. How One Turn works.