- Public schoolteachers went on strike in Paraguay and took to the streets of several cities following the collapse of a major bank that resulted in the removal of the nation’s president last week.
- The bank’s closure affected over 3 million people, whose bank accounts were frozen, including pension funds and government-owned accounts.
- Prosecutors announced that President Peña would be investigated for breach of trust and administration for personal gain, potentially facing up to 20 years in prison if convicted.
- The Central Bank has begun returning deposits, and by Saturday it had partially or fully refunded more than 1.2 million Ueno customers.
- Silvio Piris, president of the Federation of Paraguayan Educators, expressed concern over the fate of around $60 million in pension funds that had been in the intervened bank, stating, “We want the return of that money to be a priority.”
- Lawmakers also accuse Peña of allowing the state pension fund to deposit $355 million at Ueno Bank, beyond legal limits.
- The crisis has sparked multiple protests from account holders, leading to clashes with police, and raised doubts about the stability of Paraguay’s financial system.
Teachers in Paraguay initiated a strike on Monday, protesting the collapse of Ueno Bank, which resulted in the removal of President Santiago Peña. The bank's failure has left over 3 million people without access to their accounts and jeopardized around $60 million in pension funds.2356
Silvio Piris, president of the Federation of Paraguayan Educators, emphasized the urgency of the situation, stating, “We want the return of that money to be a priority,” during an interview with Channel 9. The government intervened in Ueno Bank last week, leading to widespread financial instability and protests from account holders.
The crisis has raised serious concerns about the stability of Paraguay's financial system, with lawmakers accusing Peña of allowing the state pension fund to deposit $355 million at the bank, exceeding legal limits. Following the intervention, the Central Bank has begun returning deposits, having refunded more than 1.2 million Ueno customers by Saturday.47
The fallout from the bank's collapse has not only affected teachers and pensioners but has also sparked clashes between protesters and police, highlighting the growing unrest in the nation as citizens demand accountability and financial security.
“More than 3 million people had accounts frozen after the government's intervention, including pension funds. Prosecutors are investigating Peña for breach of trust, with lawmakers accusing him of allowing $355 million in state pension deposits beyond legal limits.”
The Spec
