Vatican City: Pope Francis recently addressed delegations from several Italian Banking Institutes, urging them to recognize the ethical dimension of banking. He challenged the financial sector to focus on investments that promote development rather than exploitation and conflict.

The Pope reiterated his concern over financial speculation that places profit over people, leading to exploitation and growing social inequalities. He stated, "When finance disregards people, fuels inequality, and detaches itself from the life of communities, it betrays its true purpose and becomes an uncivilized economy."

During his audience with the Italian bankers on Monday, the Pope reflected on the ethical obligations of finance and its potential to foster inclusion and sustainability. He warned against finance becoming detached from human needs and highlighted the Church’s historical involvement in socially responsible banking, such as the Monti di Pietà in 15th-century Italy, which provided credit to the impoverished, and the cooperative credit systems developed in the late 19th century, inspired by Pope Leo XIII’s social encyclical Rerum Novarum. The goal of these initiatives, the Pope emphasized, was always to provide opportunities for those excluded from the financial system, demonstrating how finance can contribute to social well-being.

The Pope contrasted these socially responsible practices with modern banking methods that prioritize profit over the needs of people. He condemned practices such as multinational corporations relocating to exploit cheaper labor, usurious practices that benefit the privileged while neglecting the needy, and financial systems that accumulate funds in one area to invest elsewhere solely for profit. He warned that this disconnect from the real needs of communities leaves vulnerable groups feeling abandoned and exploited. "When finance tramples on people, fuels inequalities, and distances itself from the life of territories, it betrays its purpose. It becomes an uncivilized economy," he said.

Pope Francis praised the Italian institutions present for embodying a more humane approach to banking. Describing finance as the "circulatory system" of the economy, he stressed that "without financial systems capable of inclusion and sustainability, integral human development would not be possible." He urged banks to refrain from speculative and harmful investments, such as those that damage the environment or contribute to war. “Healthy finance does not degenerate into usurious attitudes, pure speculation, or investments that harm the environment and promote wars,” he declared.

Looking ahead to the upcoming Jubilee of Hope, the Pope reiterated his call for debt forgiveness, emphasizing that this is essential for generating hope and providing a future for many, particularly the poor. Quoting Don Primo Mazzolari, he concluded by encouraging banks to uphold social justice, reminding them of their significant responsibility to support an economy that promotes peace and inclusivity.