State contributions to churches are decreasing. How is the Olomouc archdiocese preparing for complete separation?

For example, it started with the extensive repair of the curia’s historic administrative building, which is being insulated. It promises lower energy costs. “We are in the future archive where we are hammering plaster. The windows will also be replaced,” says construction supervisor Jan Smítal, who is standing on the extensive baroque courtyard tract of the archbishop’s curia, from where construction activity will echo until the spring of next year.

This correction is also part of the archbishopric’s preparations for the separation of church and state. According to Martin Pirkl, the economist of the Olomouc archdiocese, the state’s contribution to the operation of the clerical part of the archdiocese’s activities is roughly 90 million per year, which is enough for the clergy’s wages for four months.

Over the past 11 years, the Olomouc archdiocese has received one billion crowns from the state as compensation for unissued property, in total the archdiocese should receive five billion crowns. “It’s an impressive amount. In the ratio of assets without the involvement of donors, believers, from the point of view of the management of the parish and subsidiaries, it is not an amount that should ensure sustainability,” said Pirkl.

That is why the archdiocese is in business. As part of restitution, they received over 40,000 hectares of land, most of which were forests. “We do business on our own property, that means the Archbishop’s forests. But we also do business on farms, we have a dairy farm, beef cattle, we have the archbishop’s castle wine, brokerage, insurance and service organizations,” adds Pirkl.

The Ministry of Finance confirmed that the state has already paid 23.5 billion crowns in financial compensation to all churches in eleven installments by 2023. Of this, the Roman Catholic Church received almost 19 billion. The amount paid out is also affected by inflation.

“The high rate of annual inflation affected the evaluation of the total amount of financial compensation established by law as well as the amount of the installment of financial compensation only this year. And it will affect it even in 2025, after which, according to macroeconomic predictions, inflation of around three percent is already expected,” mentions Gabriela Krušinová, spokeswoman for the Ministry of Finance.

The Act on Property Settlement with Churches stipulated that the churches would receive from the state real estate worth approximately 75 billion crowns. The churches are to receive 59 billion crowns increased by inflation over 30 years for real estate that was not sold according to the law.