Paraguay swears in Pedro Alliana as president amid banking crisis

Paraguay's Vice President Pedro Alliana was sworn in as the South American country's president to serve out the term of his impeached predecessor Santiago Pena.

44 out of 45 Paraguayan senators on Friday voted in favour of impeachment of crisis-hit Santiago Pena over the implosion of Ueno Bank to which he had links.

Pena, who had offered his resignation the day earlier as his own party turned on him, failed to appear at the Senate trial.

President of the Senate Basilio Nunez announced after the voting that the leader was declared guilty of misconduct in his duties and was fully removed from his position as president of the republic.

Prosecutors subsequently ordered to place Pena and former central bank chief Carlos Carvallo under house arrest on suspicion of breach of trust, influence peddling and other offenses tied to the bank collapse.

The ousted president is to be held at his home until he can be brought before the prosecutors' economic crimes and anti-corruption unit, according to a letter to the national police commander.

Vice President Pedro Alliana was quickly sworn in to lead the nation, promising to order immediate actions to compensate the savers with preference given to the less fortunate.

A veteran of the long-ruling conservative Colorado party, Alliana will serve out the remainder of Pena's presidential term through 2028.

The 52-year-old said while taking the oath of office that he doesn't "want any one lukewarm in charge of this mission," adding "I want results. My transparency is non-negotiable."