Despite signs of economic upturn, Vatican budget hit by rising costs

(February 18, 2011) Despite signs of an economic recovery, the Vatican's budget projections are still negatively affected by shaky global financial markets and rising operating costs. A council of cardinals charged with reviewing Vatican finances met Tuesday and Wednesday to go over the projected budgets of 2011. While expressing gratitude to donors worldwide for their contribution, the Vatican encouraged them to persevere in their support. The cardinals are given two separate budget reports: the budget of the Holy See that includes the Roman Curia, Vatican diplomatic missions around the world, Vatican media outlets and Vatican investments; and the budget of Vatican City State, including the post office and Vatican Museums. A Vatican statement, released on Thursday, gave no figures for projected income and expenses, but offered a general description of the budget plans. Even though there are "clear signs of recovery," the overall budget forecast "is still feeling the uncertainties of the global economic system, but also rising operational costs," especially for the Holy See's budget, it said. An "irreplaceable source of funding" for the Holy See is what the faithful offer, it said. The Vatican has two special sources of income to which Catholics contribute: the Peter's Pence collection, which is used by the pope for charity and emergency assistance; and the contributions that dioceses around the world make to support the work of the Vatican.