Ueno Bank Collapse Triggers Financial Crisis in Paraguay, Locking Out 3 Million Customers

Paraguay is facing a major financial and political crisis after its Central Bank placed Ueno Bank, the country’s largest digital lender, into resolution proceedings. The intervention followed a sharp decline in the bank’s solvency ratio, which fell below half of the legally required minimum. The decision immediately restricted access to accounts belonging to approximately 2.8 million to 3 million customers, representing about 60% of Paraguay’s adult population. The collapse has also put approximately $380 million in state pension and healthcare funds managed by the Social Security Institute (IPS) at risk.

Source: DeFi Planet