Paraguay’s central bank credibility ‘in crisis’ over Ueno
Experts raise questions over institution’s supervisory actions and its ties to collapsed digital lender
The Central Bank of Paraguay is facing a credibility crisis, experts have told Central Banking, after the collapse of a digital bank with ties to the government left millions of depositors without access to their savings, and triggered a wave of protests and impeachment proceedings against the country’s president.
On November 3, the central bank seized control of Ueno Bank – which served more than two-thirds of Paraguay’s adult population – after its solvency ratio fell below half the legal limit
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