The Covid-19 pandemic time affected Vatican financial resources.The museums which produced money were closed almost all the time. The Vatican expects a deficit of €50m this year. Pope Francis has ordered pay cuts for cardinals and other clerics. Proportional cuts will be introduced starting on 1 April. Priests and other clerics will see their salaries cut by between 3% and 8% and planned salary increases will be suspended until March 2023. “An economically sustainable future today requires, among other decisions, the adoption of measures concerning staff salaries,” the apostolic letter affirmed. A part of Vatican employees with less revenue, such as maintenance people, will not be affected, to save their jobs.The Pope has previously said that he does not want to fire people in difficult economic times. Many cardinals based at the Vatican either live there or in large apartments in Rome at below market rents. Many priests and nuns working at the Vatican live in religious communities that give them greater protection from economic slumps.
A senior Vatican prelate said it was believed to be the first time in living memory that a pope had taken such action. Earlier this month, the Vatican’s top economic official warned that the Holy See might have to use €40m in reserves for the second year running as a result of the pandemic. The Holy See budget covers entities in Rome that oversee the governing of the 1.3 billion-member worldwide church, its diplomatic representations, and media operations.