Pope Francis has warned of a "serious imbalance" in the Vatican's pension fund, appointing a cardinal to manage the situation.

The pontiff has sent a letter to all the world's cardinals, as well as to the heads of the Vatican's various departments, warning of a "serious imbalance" in the Vatican's pension fund. He appointed a high-ranking cardinal, Kevin Farrell, to take over management of the fund, recognizing the need for structural changes. The Vatican is facing a significant budget deficit, and the pension fund's net liability for post-employment benefits is estimated at about 631 million euros.