The Institute for the Works of Religion (IOR) publishes its Annual Report for 2023, revealing a 30.6 million euro profit.
By Vatican News
For the twelfth consecutive year, the Institute for Works of Religion (IOR), commonly known as the Vatican Bank, has published its Annual Report containing its 2023 Financial Statements prepared in accordance with IAS-IFRS international accounting standards.
A press release accompanying the publication of the financial statements said: “These Financial Statements received a clean opinion from the auditor, Mazars Italia S.p.A., and, on April 30, 2024, they were unanimously approved by the IOR Board of Superintendence, and, as provided for in the Statutes, they were then sent to the Commission of Cardinals for their review.”
The IOR is among the most solid institutions in terms of capitalisation and liquidity, and is a benchmark for investments consistent with Catholic ethics.
“In line with the goals of its strategic plan,” the statement continued, “and whilst fulfilling its primary role to work for the Works of Religion of His Holiness Pope Francis and for the Church around the world in 2023, IOR achieved the following results:
• EUR 30.6 million Net Income,
• + 23% Net Interest Margin, + 49% Intermediation Margin, + 31% Net Commission Margin,
• Total Client assets +4% amounted to 5.4 billion EUR,
• 60% TIER 1 ratio and 48% cost/income ratio.
The IOR informs that “given the soundness of the 2023 Financial Statements, and taking into account IOR’s capital requirements, the Commission of Cardinals decided to distribute EUR 13.6 million for works of religion and charity.
In 2023, growth in net profit was achieved thanks to the positive contribution of interest margin, intermediation margin, and commission margin. “Cost control continued to be core to management efforts, though investments aimed at improving customer services, and digitalization were made.”
Finally, “in terms of asset management, the Institute is highly committed to the principles consistent with the Catholic faith (Faith Consistent Investment). The quality of products managed by IOR are a testimony to the work done over the years, enabling IOR to become a worldwide reference in ethical investments.”
