A major break to Vatican’s ongoing incurring funds
The Vatican’s budget of the Holy See was published by the secretariat for the economy, a Vatican agency created by Pope Francis to manage the financial operation. Its 2021 budget in March states that its financial reserves from the past donation have depleted over the recent years. It has presented a transparent budget, showing a 50 million euros budget deficit this year.
This effort is to reassure the faithful donors who desire to keep the Holy See afloat and Pope Francis ministry to keep progressing, that their money has been spent appropriately. This new transparency aims to centralize and clean up the Vatican's mismanaged financial troubles, especially concerning the $200 million investment scandal in London real estate.
The Vatican's economic minister, the Rev. Juan Antonio Guerrero, said that the covered-19 pandemic created an economic crisis that profoundly impacted its financial state. The pandemic reduced revenue from Vatican museums that the donation for the Holy See. Majorly the museum’s revue has affected the scenario since it is estimated a 30% reduction in revenue to 213 million euros in 2021.
Although the Vatican had attained substantial cost-cutting during the pandemic lockdown. Travel, conferences, assembly, and consultation fees were heavily reduced and during an interview, Rev Guerrero mentions further deduction of expenditure by 8% in2021.
He even mentions that in 2019, the Vatican used 27.2 million euros in Peter’s pence reserves to cover its operating costs then he confirms that 53.8 million euros in revenue to Peter’s pence fund that year.
It is also estimated that the Vatican incurred 40 million euros in Peter’s Pence reserves and that particular amount is also expected in 2021.
These funds are to run the Holy See bureaucracy and especially offered in the annual collection at Mass, all the funds and efforts have been structured way to benefit Pope Francis in his ministry and the Vatican's work of charity.
Rev Guerrero further confirms especially mentioning to Vatican’s central bank which operates the Holy See’s financial investment and the real estate, “This recourse to Peter’s Pence reserves in recent years means that the liquidity of the fund is being depleted and with the current crisis it is very likely that in 2022 we will have to resort to some extent to the assets of APSA.”
Vatican prosecutors have now begun to scrutinize the investigation on the Peter’s Pence funds. It will dig the secretariat of the state’s 350 million euro investments ventures in London real estate (maintenance and repairs) which was funded by Peter’s Pence.
Although these investigations are in process, it will not promise the Vatican any funds. The Vatican is been in serious depletion of money and greatly in of funds. The past mismanagement and other issues have judged its sentence during the pandemic.
The Vatican never saw this coming; each year the tourists brought huge funds to the city and to mention the donations and other funds. The Vatican had always been in an ongoing incurring of fund’s cycle and the covid-19 brought a major break.