巴拉圭银行故事

Despite its weaknesses, Paraguay’s young democracy was still able to deliver under stress. Its free, boisterous press was the first to sound the alarm about Peña’s shenanigans. The Central Bank’s supervision chief did his job: he examined ueno’s numbers and recommended blocking the sale of its bad loans to a related company (Peña had appointed him to a different agency four days earlier). Legislators, including most of Peña’s fellow Colorados, moved swiftly to investigate and impeach the president. Prosecutors, who belong to a Public Ministry not always independent of the executive, ordered the arrest of ueno’s top directors the day the Central Bank took over the bank. They ordered Peña’s arrest the minute Congress impeached him—all within less than a week. One of Paraguayan democracy’s greatest accomplishments has been earning an investment-grade rating for its sovereign debt, from Moody’s in 2024 and S&P in 2025. The macroeconomic and financial management behind it, through the finance ministry and the Central Bank, has brought low inflation and overall stability. As a result, Paraguayans can save, invest, and run their households and businesses like never before, and per capita GDP has grown steadily for three decades. That same framework is now repaying ueno’s small depositors through a deposit guarantee of up to $38,000 per person and, so far, has kept the panic from spreading to other banks. Whether it can also make whole the pension fund and the state agencies with hundreds of millions of dollars at stake is the next test. Last but not least, there’s a big dog that hasn’t barked in this crisis. Unlike almost all of Paraguay’s previous political crises, the military has been a non-entity. No military leader has stepped forward to offer a solution, the press doesn’t even mention the military, and nobody on the streets expects or wishes a military solution. That’s a major democratic win. Here is much more from Tomas Mandl, who also has an excellent book on Paraguay. The post The Paraguayan bank story appeared first on Marginal REVOLUTION.