Kathmandu. Paraguay’s President Santiago Peña has resigned amid public outrage and impeachment pressure after the savings of about 30 million depositors were frozen in the banking crisis.
He remains in office because the parliament has not accepted his resignation, and the impeachment process will be initiated. Paraguay’s central bank took control of the UNO Bank, which is linked to Peña, after a serious capital shortage. Since then, millions of depositors, including pensioners, have been deprived of withdrawing their money. After the incident, thousands of citizens protested outside the parliament building in the capital, Asunción, demanding the return of the money.
Earlier, tear gas and water cannons were used in clashes with the police. Lawmakers have unanimously initiated impeachment proceedings against Peña on charges of conflict of interest and abuse of position at the bank.
The president apologized to the public on social media and said that keeping depositors’ savings safe was his priority. Despite the resignation of central bank president Carlos Carvalho and a five-day deadline for the return of deposits, the public anger did not subside. The parliament is set to hold an impeachment hearing on Friday. If the presidency becomes vacant, Vice President Pedro Eliana will take over.
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