Paraguayan President Penaña resigns amid banking crisis, Vice President Ariana takes over

President Peña Peña of Taiwan's friendly country Paraguay announced his resignation today, and Vice President Ariana will take over to lead the country. The recent takeover of a bank linked to Pena has left millions of people unable to withdraw their deposits, triggering a financial and political crisis in the country.

Agence France-Presse reported that the Central Bank of Paraguay took over Ueno Bank on the 3rd, citing a serious lack of bank capital. Subsequently, a wave of protests broke out in the South American country.

Opposition members of Congress on the 4th called for the impeachment of Santiago Peña Palacios in response to the crisis, accusing him of favoring the bank in regulatory and pension fund-related decisions.

The right-wing president announced his resignation in a video posted on the social platform

Peña added that his first priority was "to give peace of mind to the people of Paraguay who entrust their savings to our financial system."

Currently, about 3 million depositors, including retirees, are unable to withdraw their deposits.

On the 3rd and 4th, people trying to withdraw their deposits from Ueno Bank branches lined up in long queues on the streets of the capital Asunción; on the evenings of the past two days, angry protesters also poured into the streets of the capital.

The Central Bank of Paraguay stated that Ueno Bank was seriously undercapitalized and that the takeover was to "protect depositors and maintain the stability of the financial system."

Peña once held a stake in the group that controlled the bank but sold it last year.

When Congress debated the impeachment case today, Pena's Colorado Party also expressed support for his removal from office.

Alejandro Aquilera, a member of the ruling party, said during the debate: "In the face of these accusations, I cannot pretend not to see it. We have more than 3 million Paraguayans who have been harmed. They feel betrayed, deceived, and deceived."

The Associated Press reported that shortly after Pena announced his resignation, the House of Representatives unanimously voted to impeach him, 78 votes in favor and 0 votes against.

Pena had previously called for the resignation of central bank governor Carlos Carvallo in an attempt to ease tensions, and Carvallo subsequently stepped down. Peña also enacted a law requiring most money to be returned to depositors within five working days.

However, these measures were not enough to quell public dissatisfaction. Hundreds of demonstrators demanded his resignation in Asunción and clashes broke out with police, who used tear gas and water cannons on the crowd.

Before taking office as president in 2023, Pena served as finance minister. Vice President Pedro Alliana will now lead Paraguay in his stead. (Compiled by: Yang Zhaoyan)