New Motu Proprio: the Vatican reinforces ethical control of its investments

Pope Leo XIV has promulgated a new Apostolic Letter in the form of a Motu Proprio on the financial investment activities of the Holy See. The aim is to consolidate the economic reforms begun years ago and to ensure a unified and ethical management of the assets of the Roman Curia, underlining the principle of co-responsibility in the communio established by the Apostolic Constitution Praedicate Evangelium.

The document, dated September 29, 2025, seeks to precisely define the roles and competencies of the institutions involved in the management of Vatican investments. The main novelty lies in the repeal of the Instruction of August 2022 and the establishment of a new operational structure.

The Holy Father establishes that the Administration of the Patrimony of the Apostolic See (APSA), in its role as investor, will make use of the internal organizational structure of the Institute for the Works of Religion (the Vatican bank) for the management of investments. This move makes the IOR the nerve center and main source of expertise for day-to-day financial management.

In addition, the Motu Proprio reaffirms the supreme authority of the Investment Committee to establish the conformity of all financial operations with the approved investment policy, thus ensuring that Vatican assets respect the Social Doctrine of the Church.

The 2022 Rescriptum

The Rescriptum ex Audientia SS.mi of August 23, 2022, which has just been repealed, was a crucial emergency measure designed to impose the immediate centralization of the Vatican's financial assets. Its fundamental purpose was to eliminate the dispersion of funds that had generated problems. It established that the Institute for the Works of Religion (IOR) would be the sole patrimonial manager and depositary of all the financial assets and liquidity of the Holy See and its institutions.

Within 30 days, all Vatican entities were ordered to transfer their funds held in external banks to the IOR. In this way, the Rescriptum forced the entire estate to be under a single, strict supervision.

The Investment Committee

The Investment Committee is the body that ensures the ethical and strategic oversight of Vatican assets, in compliance with the Social Doctrine of the Church. It is chaired by Cardinal Kevin Joseph Farrell, Prefect of the Dicastery for the Laity, Family and Life.

At his side are top-level international experts: Dr. Jean Pierre Casey (Great Britain), recognized in risk management and risk management, and Dr. Jean Pierre Casey (France), recognized in risk management and risk management. FinTechDr. Giovanni Christian Michael Gay (Germany), with extensive experience in managing large investment funds; Dr. David Harris (Norway), an expert in global markets; and Dr. John J. Zona (United States), with vast experience in portfolio management. This composition guarantees a global and highly professionalized perspective for investment decisions.

Positive balance sheets of IOR and APSA

The new papal directive places its confidence in two entities that have demonstrated financial efficiency in recent years: the Institute for Works of Religion (IOR) and the Administration of the Patrimony of the Apostolic See (APSA). Both bodies are thus consolidated as the pillars of Vatican budgetary control.

The IOR, popularly known as the Vatican's bank, has maintained a clear net profit trajectory, reporting a significant profit, for example, €32 million in 2024. This positive performance reflects the effectiveness of the governance reforms implemented.

APSA, the asset manager, has also reported favorable results, achieving a high management profitability of up to 8.51 percentage points, thanks to strategic investment management. By working together and with healthy balance sheets, these institutions reinforce the centralized supervision model promoted by the Pope.