Paraguay President Santiago Peña Impeached and Arrested Amid Banking Scandal

Santiago Peña has been removed from office following a swift impeachment process by the Paraguayan Congress, triggered by a massive banking collapse that blocked approximately 60 percent of citizens from accessing their funds. Following his ouster, Peña was immediately placed under house arrest as authorities launch investigations into the financial scandal.

The crisis intensified after the suspension of a prominent local bank due to severe regulatory irregularities, sparking widespread outrage and large-scale street protests across the nation. Critics and protesters accused the administration of turning a blind eye to corruption and leveraging political power to support favored financial entities.

In the wake of Peña’s removal, political transition plans moved quickly, with Pedro Alliana sworn in as the new president to take control of the troubled administration. The new government faces immense pressure to address the crippling banking crisis, calm public unrest, and initiate comprehensive reforms to ensure financial transparency.

Sources: BBC