Contributions from U.S. to Vatican rise despite scandals

By Victor L. Simpson
Associated Press

VATICAN CITY — Donations from the United States to the Vatican increased last year despite fears that the sex-abuse scandal rocking the American church would lead to a cutback in contributions, Vatican officials said Thursday.

Worldwide contributions — from dioceses, institutions and individuals — more than doubled from the previous year, with the United States the No. 1 source, said Cardinal Sergio Sebastiani, the Vatican's economic chief.

A feared reduction "didn't happen," the cardinal said at a news conference. "There was also an increase from the United States."

He didn't supply figures for individual countries but said the United States led the list of donors followed by Germany and Italy.

Vatican officials elaborated on the annual financial report released Wednesday that listed a deficit — about $15 million — for the second consecutive year.

Since the 1990s, the Vatican has turned to dioceses worldwide to help offset the operating expenses in the running of the universal church. These contributions, along with those from institutions and individual donors, reached $97 million, the report said, calling it an "unhoped-for increase."

Contributions last year to the pope were also up, rising nearly 2 percent to $52.8 million. That money went to charity works in the developing world and for relief aid for wars and natural disasters, the report said.

The Vatican went through 23 money-losing years until 1993, when bishops worldwide began contributing. It found itself in the red again in 2001, blaming the $3 million deficit on the worldwide financial slump aggravated by the Sept. 11 attacks.

The Vatican blamed its widening shortfall last year on heavy personnel costs, the Holy See's expanding diplomatic mission and a slumping stock market.