Vatican finances tumble amid economic slowdown

The Vatican said that it ran a deficit in 2008 as its finances and donations from across the world were hit by the global economic crisis.

The Vatican posted a budget deficit for a second straight year, though the figures improved strongly from 2007.

The Holy See's 2008 deficit was around €0.9 million, compared with a loss of €9.06 million a year earlier.

 For the Holy See, expenses of €254,865,383 outstripped revenues of €253,953,869

Archbishop Velasio De Paolis, the president of the Prefecture for the Economic Affairs, presented a full economic report to a panel of cardinals at meetings in Rome from 1-3 July . The report shows that the worldwide Peter's Pence collection drew in €54,387,714 ($75.72 million) during the year 2008.

The outgoings are due above all to the ordinary and extraordinary expenses of the dicasteries and offices of the Holy See, which employ 2,732 people of whom 761 are ecclesiastics, 334 religious and 1,637 lay people.