Pope Leo Redefines Vatican Finances, Moves from Centralisation to Shared Responsibility

Vatican, 7 October, 2025: In a decisive act reflecting both continuity and correction, Pope Leo XIV has issued his first Apostolic Letter in the form of a Motu Proprio titled Coniuncta cura. The document, which reshapes the Holy See’s financial governance, signals the start of a new chapter in Vatican economic reform. Signed on 29 September, the feast of the Archangels Michael, Gabriel, and Raphael, and published on 6 October, it redefines the balance between oversight and collaboration within the Vatican’s financial institutions.

The text draws directly from the principle of “co-responsibility in communion,” central to Praedicate Evangelium, Pope Francis’ 2022 apostolic constitution. Leo XIV places this principle at the core of his reform, insisting that even the management of money and investments must embody service and mutual trust. He writes that his aim is to consolidate norms and clarify responsibilities while fostering “a dynamic of mutual collaboration” among the Vatican entities involved in financial administration.

Coniuncta cura formally repeals Pope Francis’ 2022 Rescriptum ex Audientia, which had centralised control of all Vatican investments and liquidity under the Administration of the Patrimony of the Apostolic See (APSA). That earlier system, introduced to tighten oversight following years of scandal and fragmentation, required all dicasteries and Vatican offices to transfer their assets into APSA-managed accounts.

While confirming APSA’s general competence, Leo XIV redefines its function: in carrying out investment activities, APSA must now make “effective use” of the Institute for the Works of Religion (IOR)—commonly known as the Vatican Bank. This marks a subtle yet significant shift, restoring an operational role to the IOR, which had been largely sidelined under previous regulations. It also allows flexibility to use external financial intermediaries “where more efficient or advantageous,” provided they are vetted by the Investment Committee.

All Vatican investment operations must now comply with the Investment Committee’s policies and adhere to an approved investment strategy that integrates prudence, sustainability, and moral coherence. The reform goes beyond financial efficiency, embedding ethical discernment into every decision so that investments serve not only profit but also the Church’s social and pastoral mission.

Observers within the Curia interpret this as both a refinement and correction of Francis-era centralisation. A senior cardinal, speaking anonymously, said the College of Cardinals had raised concerns about the “ideological rigidity” of earlier economic directives. Leo XIV’s response, the prelate explained, represents “a return to balance, to shared responsibility that prevents both dispersion and concentration of power.”

In practical terms, Coniuncta cura introduces a more nuanced model of governance—one that maintains accountability while encouraging cooperative decision-making. Transparency, once viewed mainly as control, is now understood as participation. Published in L’Osservatore Romano and soon to appear in the Acta Apostolicae Sedis, the Apostolic Letter takes immediate effect.

It represents not only a legal adjustment but also a moral and spiritual reorientation. Leo XIV indicates that the Church’s economy must recover its true vocation—to serve as an instrument of communion rather than a field of competition or dominance. Behind the technical framework of financial reform lies a clear pastoral vision. As one Vatican official close to the matter remarked, “The Pope has recognised that certain things simply needed to be set right.” With Coniuncta cura, Leo XIV appears determined to do exactly that—restoring coherence, integrity, and moral purpose to the financial mechanisms supporting the mission of Peter’s successor.

Source: Courtesy