The Paraguayan Central Bank took control of a popular bank that was linked to President Santiago Pena, preventing the immediate access of millions of depositors to his money.
© Reuters
03/11/2026
by
Lusa
O paraguay's central bank today took control of a bank that was linked to the country's president, Santiago Pena, who had an immediate result that was preventing the immediate access of millions of depositors to his money.
Ueno Bank, faced with a situation of insolvency, was placed under supervision to “protect depositors and the stability of the financial system”, according to a statement from the central bank.
Santiago Pena, president since 2023, owned until 2025 shares of the controlling company (“holding”) of this banking entity.
Ueno Bank is one of the most popular banks in the country for its digital strategy, where the state-owned Social Forecast Institute (IPS) invested $380 million, which also hosts deposits of 32,000 pensioners.
The decision was released after requests from experts and congressmen to know the entity's situation, where resources are also deposited from official entities such as the National Electricity Administration (Ande) and Itaipú binational dam.
In the statement, the central bank announced that it decided to “unanimously” initiate “the Ueno bank’s resolution procedure, after finding a failure in its index if solvency below 50% of the minimum required”.
The procedure provides for the designation of inspectors of the Superintendence of Banks and the activation of the Deposit Guarantee Fund (FGD) mechanisms, which cover up to 75 minimum wages [228,3 million Guaranies (38,622 dollars)], “by person or legal entity and by financial entity”, detailed the official communication.