Santiago Peña resigns as president of Paraguay amid the Ueno crisis, which left millions of customers without access to their accounts

Paraguay’s President Santiago Peña announced his resignation on Thursday amid the crisis caused by the collapse of digital lender Ueno, which prevented approximately three million customers from accessing their accounts. Peña cited the need to protect the country’s stability, social peace and democratic institutions.

The decision was announced in a video address after the opposition called an extraordinary session to initiate impeachment proceedings and protesters demanded his departure. On the same day, the president also lost the support of members of his own conservative party. Vice President Pedro Alliana is set to take office.

Congress accused Peña of conflicts of interest, the improper use of pension funds and covering up irregularities related to Ueno. The company rapidly expanded from a fintech platform into a mid-sized bank, managing nearly $850 million in public funds. The Central Bank of Paraguay intervened and placed the institution under administration after finding that it had violated minimum solvency requirements. Peña had held shares in Ueno until recently. The outgoing president called for the repayment of the funds to be guaranteed and public resources to be protected.