Papal decree tightens supervision of Vatican's financial activities

VATICAN CITY, Aug. 8 (UPI) -- Pope Francis increased controls on the Vatican Bank Thursday in an effort to eliminate money laundering and the funding of terrorism, a Vatican official said.

The "motu proprio" decree is aimed at promoting closer coordination of the Holy See's financial activities, the Vatican said in a statement.

It focuses on "the prevention and countering of money laundering, the financing of terrorism, and the proliferation of weapons of mass destruction."

The Rev. Federico Lombard, a Vatican spokesman, said the order extends the "prudential supervision" of the Financial Information Authority to all Vatican departments involved in financial activity.

The communique is an attempt by the Vatican to bring the Vatican Bank, officially known as the Institute of Religious Works, up to international standards, the Italian news agency ANSA reported.

Last week, Francis told reporters he was unsure if IOR should be shut down or reorganized as a foundation.

"But whatever happens to the IOR, what is needed for sure is transparency and honesty," he said.