Paraguay's President Santiago Peña, a Close Trump Ally, Resigns as Impeachment Looms Over the Seizure of Ueno Bank, Breitbart Reports
Breitbart says Peña quit Thursday after Congress began impeachment steps over the central bank's seizure of Ueno Bank, which left 2.9 million customers without access to funds. He did not address the allegations in his video message.
One of Latin America's most pro-American presidents is out, Breitbart reports.
The resignation. Breitbart's Frances Martel writes that Peña announced in a video message Thursday that he is stepping down, after Paraguay's legislature began impeachment proceedings. He called it "one of the most difficult moments of my life" and said "social peace" and stability required it. "I have made the decision to present my resignation to the presidency of the republic," he said, and apologized "if I have in any way failed." He did not accept responsibility for the bank's failure or discuss it in detail, Breitbart says. He asked only that customers get their money back as soon as possible.
The bank. The Central Bank of Paraguay seized Ueno Bank on Tuesday, one of the country's largest, leaving 2.9 million customers without access to their funds. Breitbart, citing Argentina's La Nación, says the bank's solvency index had fallen to about 5.56 percent against a 12 percent minimum, and the central bank demanded accounting adjustments of more than 1.6 trillion guaraníes, about $260 million. Local reports say many customers are retirees, and frozen public agency accounts could shut down government services. Protesters in Asunción have lit street fires.
The accusations. Opposition lawmakers accuse Peña of corruption and conflicts of interest. Breitbart, citing Reuters, says Congress blamed him for "misuse of pension funds and institutional cover-ups" tied to the bank's insolvency. Paraguayan media report that police demanded "preventative imprisonment" of 27 senior executives and others, including former CEO Miguel Vázquez. Breitbart does not publish evidence for the claims against Peña.
The record. Breitbart calls Peña, president since 2023, one of Trump's closest allies abroad. It says he brought Paraguay into the Shield of the Americas anti-crime program, joined the Board of Peace meetings on Gaza and the Middle East, signed a nuclear technology agreement with the Trump administration, and honored Charlie Kirk at the 2025 UN General Assembly. Paraguay recognizes Taiwan and has no ties to China, and La Nación credits Peña's low taxes and stability for drawing investment.
Why it matters here. Breitbart describes Peña as a close Trump ally and lists agreements he signed with the U.S. Who takes over, and whether those agreements hold, is not in Breitbart's report.
What we could not check. We read Breitbart's article and not the Reuters or La Nación reports it cites. We could not confirm the impeachment details, the solvency figures or any wrongdoing by Peña. Breitbart writes from a favorable view of him.