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Paraguay President Santiago Peña resigns

November 6, 2026

CNA, a state-backed conglomerate, reports that Pedro Alliana was sworn in as Paraguay's new president on Friday (November 6) just as authorities put his impeached predecessor Santiago Peña under house arrest, the latest developments in a fast-moving political and financial crisis triggered by the collapse of a digital bank.

CBC and CBC News report that Peña was ordered to remain at one of his homes in Asunción until he appears before prosecutors Saturday morning on charges of breach of trust, influence peddling and using public office for personal gain, the most serious of which carry up to 10 years in prison. Peña was ordered to remain at one of his homes in Asunción until he appears before prosecutors Saturday morning on charges of breach of trust, influence peddling and using public office for personal gain, the most serious of which carry up to 10 years in prison, AP News reports. After a banking scandal led to the impeachment of his predecessor, Santiago Pena, Pedro Alliana has been sworn in as the new president of Paraguay, Al Jazeera reports.

CNA, a state-backed conglomerate, reports that Pedro Alliana was sworn in as Paraguay's new president on Friday (November 6) just as authorities put his impeached predecessor Santiago Peña under house arrest, the latest developments in a fast-moving political and financial crisis triggered by the collapse of a digital bank. Vice President Pedro Alliana was sworn in as president November 6 to serve out the term, which ends in August 2028, CTV News reports. Alliana assumes the leadership of Paraguay at a time when it is facing one of its most severe political and economic scandals in recent history, Al Jazeera reports. Peña, who until last year held shares in the company that owned the bank, has denied any wrongdoing, BBC reports. Previously, Alliana had served as vice president under Pena since the start of the latter’s term in 2023, Al Jazeera reports. Al Jazeera reports that but Pena’s tenure came to an abrupt end earlier in the day, after 44 of Paraguay’s senators voted to remove him from office. Ousted Paraguayan president Santiago Peña was placed under house arrest November 6 on suspicion of breach of trust and influence peddling, among other charges, shortly after the Senate removed him from office over the collapse of a government-linked bank that locked nearly half the country's six million people out of their savings, CBC and CBC News report. Peña will remain under house arrest, according to prosecutor Christian Benítez until a judge decides where he should stay while the criminal process against him takes place, CNN reports.

According to AP News and AP, José Tomás Sánchez said, “Under Peña, the central bank began to lose credibility, lose neutrality and then relax all its control mechanisms to favor the business group that had Ueno Bank as one of its pillars”.

CBC and CBC News report that Peña was ordered to remain at one of his homes in Asunción until he appears before prosecutors Saturday morning on charges of breach of trust, influence peddling and using public office for personal gain, the most serious of which carry up to 10 years in prison. Peña was ordered to remain at one of his homes in Asunción until he appears before prosecutors Saturday morning on charges of breach of trust, influence peddling and using public office for personal gain, the most serious of which carry up to 10 years in prison, AP News reports. After a banking scandal led to the impeachment of his predecessor, Santiago Pena, Pedro Alliana has been sworn in as the new president of Paraguay, Al Jazeera reports. Ueno rose from obscurity to become one of Paraguay’s largest banks by deposits in just a few years, with more than $800 million in public money turbocharging its expansion, AP News and AP report. On TuesdayUeno was seized before dawn, CBC reports. The bank had grown rapidly since launching in 2021, CNA, a state-backed conglomerate, reports. Paraguay’s central bank intervened after determining that ueno had breached minimum solvency requirements, triggering a crisis that left millions of customers temporarily unable to access their accounts, Reuters reports. With roughly three million members, the bank counted nearly two-thirds of Paraguay’s adults among its customers, Al Jazeera reports.

The figures for depositor do not match from one account to the next. Peña was arrested on November 6 minutes after lawmakers, including from his own party, voted to remove him from office due to a crisis triggered by the collapse of Ueno Bank earlier this week, BBC reports. Peña entered office as one of the youngest presidents in Paraguayan history at the age of 44, CNN reports. According to CNN, Paraguay’s Central Bank said November 5 night it would start processing guarantee payments to certain Ueno customers in stages.

According to AP News and AP, José Tomás Sánchez said, “Under Peña, the central bank began to lose credibility, lose neutrality and then relax all its control mechanisms to favor the business group that had Ueno Bank as one of its pillars”.

José Tomás Sánchez

Still developing

BBC reports that Peña was arrested on November 6 minutes after lawmakers, including from his own party, voted to remove him from office due to a crisis triggered by the collapse of Ueno Bank earlier this week. Peña entered office as one of the youngest presidents in Paraguayan history at the age of 44, CNN reports. According to CNN, Paraguay’s Central Bank said November 5 night it would start processing guarantee payments to certain Ueno customers in stages.

How settled the reporting is

Reported 81% · Contested 1% · Developing 18%

Sources

Toggle read the full reports of 8 of the 9 outlets counted on this event. The other 1 are counted from their headlines and opening sentences.