Paraguay bank failure locks out about 3 million customers

Paraguay bank failure locks out about 3 million customers

Paraguay bank failure locks out about 3 million customers

Paraguay's central bank has taken control of Ueno Bank after its solvency ratio fell below half the legal minimum, freezing its app, cards and transfers. About 3 million customers, roughly 60 percent of the country's adult population, were left unable to reach their accounts, and the bank held about $2.8 billion in deposits, including hundreds of millions in public and pension funds. Deposit insurance is expected to cover up to about $38,000 per depositor, with a small initial payment promised. The central bank chief has resigned, prosecutors have arrested bank executives, and opposition lawmakers have sought impeachment proceedings against the president over the crisis. The central bank says the failure is isolated and the wider financial system remains sound.

Paraguay's central bank has taken control of Ueno Bank after its solvency ratio fell below half the legal minimum, freezing its app, cards and transfers. About 3 million customers, roughly 60 percent of the country's adult population, were left unable to reach their accounts, and the bank held about $2.8 billion in deposits, including hundreds of millions in public and pension funds. Deposit insurance is expected to cover up to about $38,000 per depositor, with a small initial payment promised. The central bank chief has resigned, prosecutors have arrested bank executives, and opposition lawmakers have sought impeachment proceedings against the president over the crisis. The central bank says the failure is isolated and the wider financial system remains sound.

Paraguay's central bank has taken control of Ueno Bank after its solvency ratio fell below half the legal minimum, freezing its app, cards and transfers. About 3 million customers, roughly 60 percent of the country's adult population, were left unable to reach their accounts, and the bank held about $2.8 billion in deposits, including hundreds of millions in public and pension funds. Deposit insurance is expected to cover up to about $38,000 per depositor, with a small initial payment promised. The central bank chief has resigned, prosecutors have arrested bank executives, and opposition lawmakers have sought impeachment proceedings against the president over the crisis. The central bank says the failure is isolated and the wider financial system remains sound.