Vatican Reports Boost in Real Estate and Investment Profits Amid Financial Reform Efforts

The Vatican has recorded a significant rise in overall profit from its real estate and investment assets for the 2024 fiscal year, according to a newly released financial report from the Administration of the Patrimony of the Holy See (APSA). The annual profit surged to €62.2 million, marking a 35.5 percent increase compared to the €45.9 million reported in 2023.

While the profit from real estate remained largely steady at around €35 million, the boost was primarily driven by improved performance in investment returns, which brought in €38.1 million up from €27.6 million the previous year. This growth in revenue is seen as a positive development amid ongoing efforts by the Vatican to stabilize its finances following years of budget deficits and scandals related to mismanaged funds.

Despite the financial uptick, APSA revised down the overall valuation of the Vatican’s real estate portfolio, from €2.74 billion to €2.6 billion. This adjustment was due to a fair-value reappraisal conducted by independent auditors, reflecting more accurate market conditions. Vatican officials said this move was part of a broader push for transparency and fiscal responsibility.

Of the 2024 profit, €46.09 million was transferred to the Vatican’s central budget to support the operations of the Roman Curia, while APSA retained the remaining €16.1 million to further strengthen its asset base.

The Vatican’s real estate portfolio comprises over 5,400 properties globally, including more than 4,200 in Italy most of which are concentrated around Rome. Only about 20 percent of these properties are rented at full market value, with the majority either used for church activities or leased below market rate to Vatican employees and institutions. These limitations, along with ongoing maintenance costs estimated at €3.8 million in 2024 continue to restrict the full revenue-generating potential of the portfolio.

Nonetheless, the Vatican still faces substantial long-term financial challenges. Its structural operating deficit is estimated at €50 to €60 million annually, and its pension fund reportedly carries a shortfall of over €1 billion. These issues underscore the importance of the Holy See’s ongoing economic reforms, including improved asset management, greater investment oversight, and more transparent reporting practices.

This financial report follows years of scrutiny over the Vatican’s handling of its wealth, particularly after the high-profile loss of hundreds of millions of euros in a controversial London property deal. Vatican leaders say the latest figures reflect a turning point in their efforts to modernize financial governance while preserving the institution’s spiritual and humanitarian mission.

As the Vatican looks ahead, observers are watching closely to see whether continued reforms will be enough to address its deeper structural deficits, secure its pension system, and restore trust in its financial administration. Vatican Reports Boost in Real Estate and Investment Profits Amid Financial Reform Efforts

The Vatican has recorded a significant rise in overall profit from its real estate and investment assets for the 2024 fiscal year, according to a newly released financial report from the Administration of the Patrimony of the Holy See (APSA). The annual profit surged to €62.2 million, marking a 35.5 percent increase compared to the €45.9 million reported in 2023.

While the profit from real estate remained largely steady at around €35 million, the boost was primarily driven by improved performance in investment returns, which brought in €38.1 million up from €27.6 million the previous year. This growth in revenue is seen as a positive development amid ongoing efforts by the Vatican to stabilize its finances following years of budget deficits and scandals related to mismanaged funds.

Despite the financial uptick, APSA revised down the overall valuation of the Vatican’s real estate portfolio, from €2.74 billion to €2.6 billion. This adjustment was due to a fair-value reappraisal conducted by independent auditors, reflecting more accurate market conditions. Vatican officials said this move was part of a broader push for transparency and fiscal responsibility.

Of the 2024 profit, €46.09 million was transferred to the Vatican’s central budget to support the operations of the Roman Curia, while APSA retained the remaining €16.1 million to further strengthen its asset base.

The Vatican’s real estate portfolio comprises over 5,400 properties globally, including more than 4,200 in Italy most of which are concentrated around Rome. Only about 20 percent of these properties are rented at full market value, with the majority either used for church activities or leased below market rate to Vatican employees and institutions. These limitations, along with ongoing maintenance costs estimated at €3.8 million in 2024 continue to restrict the full revenue-generating potential of the portfolio.

Nonetheless, the Vatican still faces substantial long-term financial challenges. Its structural operating deficit is estimated at €50 to €60 million annually, and its pension fund reportedly carries a shortfall of over €1 billion. These issues underscore the importance of the Holy See’s ongoing economic reforms, including improved asset management, greater investment oversight, and more transparent reporting practices.

This financial report follows years of scrutiny over the Vatican’s handling of its wealth, particularly after the high-profile loss of hundreds of millions of euros in a controversial London property deal. Vatican leaders say the latest figures reflect a turning point in their efforts to modernize financial governance while preserving the institution’s spiritual and humanitarian mission.

As the Vatican looks ahead, observers are watching closely to see whether continued reforms will be enough to address its deeper structural deficits, secure its pension system, and restore trust in its financial administration.