Last Updated on Tuesday, 6 August, 2024 at 3:13 pm by Andre Camilleri
The Curia’s deficit has drastically dropped from €7 million at the end of 2022 to just €300,000 at the end of last year, figures released on Tuesday showed.
This happened due to prudent expenditure, tapping into EU funds, recovery of the Archdiocese’s investments and a sizeable dividend from APS Bank, as well as careful planning, Administrative Secretary Michael Pace Ross said in a press conference on Tuesday.
Addressing the media, Pace Ross said that the finances of the Curia go towards social services and endeavours such as helping families in need within parishes by way of food as well as providing temporary, basic housing for those who find themselves homeless in facilities like Dar Papa Frangisku until they can get back on their feet.
Pace Ross said that whilst income from collections increased, donations and inheritance decreased with income from fundraising events remaining the same. However, he said income from sales and marketing chiefly from Beacon Media and the Mosta Basilica, which is open to tourists, increased with a 21% rise in visitors.
With regards to homes, Pace Ross said that there was a marginal increase in income from residents’ fees, with Casa Leone operating at full capacity, and better Public-Private Partnership collaboration. He said that there was a marginal increase from property lease and the sale of property. He added that visitors to the Mdina Cathedral Museum increased by 55% and the conclusion of EU-funded projects last year also contributed to the general increase in income.
Honing in on income from collections, donations and inheritance, Pace Ross said that it took four years for income from collections to stabilise and eventually increase following the COVID-19 pandemic. With regards to donations, there was a particular decrease towards Dar tal-Providenza with a slight increase towards other homes but income for schools remaining the same. He added that there was an overall decrease for the rest of the entities of the archdiocese.
Pace Ross said that the Curia receives grants from the government and the EU through agreements such as the government covering the salaries of two schools; the Archbishop’s Seminary and Sacred Heart amounting to nearly €11 million. He added that they also receive government grants for public-social partnerships regarding entities such as Fondazzjoni Sebh, Caritas, Dar tal-Providenza etc. amounting to a total of around €6.5 million.
Pace Ross said that EU grants for the projects concluded last year amounted to around €1.8 million. He pointed out that other entities such as the Malta Art Council have given grants to the Curia.
Coming to expenditure, Pace Ross said that the total expenditure was €60 million with the bulk going towards the remuneration of Curia employees and priests, amounting to around €37 million for 1,600 people. Furthermore, he said that over €7 million is used for maintenance and conservation works. He added that this year there was an increase in tax, partially due to the large dividend from APS Bank.
With regards to operational fees, a total of €12 million this year, Pace Ross noted an increase in liturgical expenses, professional fees, such as architects, due to the conclusion of EU projects last year, food, social activities such as seminars, transport, cleaning and contractual services towards homes for the elderly to keep up with demand. Meanwhile, he said there was a decrease in local feast expenses and utility bills whilst telecom, administrative and insurance expenses remained the same.
Looking at trends in employment, Pace Ross said that the Curia has 1,600 employees and 245 priests. Though it was stable between 2020 and 2022, he pointed out a general shift from part-timers to full-timers. However, in the various homes of the Curia, there was a shift from full-timers to part-timers and a 25-employee shift of part-timer to full-timers in the Church schools, Sacred Heart and the Seminary. He added that the general trend of sacristans and workers in other entities was towards part-time but gave credit to the large number of voluntary workers who don’t charge for their help.
Before computing subsidies, Pace Ross sketched the results of other ‘big’ entities in the Archdiocese such as Metropolitan Capital which was in surplus, though less than previous years, Fondazzjoni Sebh was in deficit, homes for the elderly “decreased their imbalance” with the closure of Dar Sagra Familja in the first quarter, while Dar tal-Providenza and Caritas both made a loss; of €1.2 million for the former and a decrease in loss. compared to previous years, for Caritas. He pointed out that the Ecclesiastical Tribunal made less income with an increase of professional fees before a provision.
Coming to subsidies by the Curia, Pace Ross noted an increase by 33% with the bulk going towards Fondazzjoni Sebh in an increase of €180,000. He explained that whilst other entities can generate their own capital to operate for example, through fundraisers, and if in trouble take from their pockets, it is not the case for Fondazzjoni Sebh which must be sustained to operate and is currently looking for sponsors. He added that a further subsidy of over €1 million was provided for Theological Studies and the Municipal Conference.
When questioned how the deficit was narrowed so drastically in the last year, from around €7 million to €300,000, Pace Ross explained that firstly there was more income than expenditure this year due to austerity and prudent expenditure. Furthermore, he said they tapped into funding schemes such as those of the EU and saw the recovery of their investments following a “disastrous” previous year. He added that the dividend from APS was very helpful in this regard and that they had forecast for a greater deficit and budgeted accordingly though the results were better than expected.
Regarding a question on the government’s €400,000 help to renovate the Christ the King Parish in Paola, Pace Ross said that the Curia helps parishes with loans and schemes, even tapping into EU funds. In the case of Kristu Re, he said that the funding of the project was “considerable” though the scope is to ensure a regular income that will eventually finance additional expenses. Ultimately, he said that following the government’s help, the plans are being revisited.
Pace Ross concluded in saying that the market remains volatile due to international conflicts and the upcoming American election, and whilst the Curia will continue to be cautious with its ethical investments and diversification of its portfolio, they will not hold back from pastoral, social and evangelical investments.
