Paraguay: President Santiago Pena resigns amid escalating national banking crisis and protests

Paraguay President <b>Santiago Pena</b> stepped down on November 5, 2026, following massive public protests in Asunción. Thousands gathered outside Congress to demand accountability as a deepening <b>banking crisis</b> triggered widespread economic instability and civil unrest. The resignation follows weeks of mounting pressure and failed attempts to stabilize the financial sector. Demonstrators alleged that government mismanagement exacerbated the liquidity crunch, leading to impeachment proceedings against the administration. The political climate remains volatile as the nation faces a sudden leadership transition. This collapse highlights the fragility of regional financial systems. The power vacuum may impact trade relations and investor confidence, necessitating urgent intervention to prevent further economic volatility in the South American nation.