♦ An FT investigation has uncovered the key role played by Deutsche Bank, JPMorgan and UniCredit in the reform of the Vatican bank, by refusing to provide financial services over the past two years.
♦ The World Trade Organisation’s 159 members managed to agree on something for the first time in its 18-year history last week – a sign that the organisation is “coming alive”.
♦ Yingluck Shinawatra’s position as Thai prime minister is in jeopardy because of opposition hatred for her brother – a force that has defined her premiership and driven instability.
♦ Bedouin gangs in the Sinai have discovered that taking hostages is more profitable than human smuggling.
♦ Bill de Blasio’s challenge as New York mayor will be to negotiate and pay for a way out of the impasse between the administration and the unions of city workers. Read more

The allegations against Monsignor Nunzio Scarano, an accountant in the Vatican’s internal accounting administration, are – albeit tangentially – the latest in a litany of scandals to affect the Vatican bank. Over the last three years, the 71-year-old Institute of Religious Works, as the bank is officially called, has been tainted by claims of money-laundering, corruption and incompetence.

The crisis began in September 2010 when it came under investigation by Italian authorities who had frozen €23m the bank was trying to transfer to accounts in Italy and Germany without releasing full details of the intended beneficiaries. The bank denied any wrongdoing. The funds were released but the investigation continues.

The Vatican responded with striking rapidity to the bank’s top two officials, Ettore Gotti Tedeschi and Paolo Cipriani, being placed under investigation; Father Frederico Lombardi, the chief spokesman, even wrote to the FT defending the two menRead more

Stunned, then overjoyed (Getty)

By Guy Dinmore and Giulia Segreti

The first pope from the Americas, the first from the Jesuit order, the first to name himself Francis … the election of Jorge Mario Bergoglio signals a break with the past on many fronts for a Roman Catholic Church in desperate need of renewal. Yet he is also regarded as a theological conservative in the mold of his predecessor, Benedict XVI, and at the relatively advanced age of 76 he will have to overcome fears that he too will be a transitional pope.

Father Federico Lombardi, the Vatican’s normally unflappable spokesman and a fellow Jesuit, was just as stunned at the choice as the crowd gathered in St Peter’s Square. “Personally I am shocked that I have a Jesuit pope,” he told reporters, noting that Jesuits usually eschew positions of authority. He added: “He had the courage to pick a name that has never been chosen. It expresses simplicity and evangelical testimony.”

Rebecca Rist, an expert in papal history at Reading University, said the choice of Francis – echoing both the 13th-century St Francis of Assisi and Francis Xavier, one of the first followers of the Jesuits – signalled that the new pope would emphasise poverty and reform. Furthermore, by choosing a name never used before he was indicating “something new – that he would not emulate a predecessor”. Read more

Benedict XVI greets the world as pope (Getty)

By Giulia Segreti in Rome

Since Pope Benedict XVI stepped down on February 28, saying he was now “simply a pilgrim who is starting the last stretch of his pilgrimage on this earth”, the Catholic Church has been in a state of sede vacante, literally “vacant seat”. The cardinals are gathering in Rome to elect a new pope; here is how they will do it.

When will the next pope be elected? A date for the beginning of the conclave of cardinals, when the election process begins, has not been chosen by the college of cardinals. However, one of Benedict’s last decrees means they can bring the election forward and break the usual rule of having a minimum of 15 days after a pope dies or leaves office provided all the cardinals who can vote have gathered. So they could start any day now.

Who gets to choose? Only cardinals, or “princes of the church”, and not all of them. There are at present 210 members of the college of cardinals but only those under the age of 80 on the first day of the sede vacante can pick a pope, which whittles it down to 115. Cardinal Keith O’Brien, Britain’s most senior Roman Catholic and only elector, opted to not join the conclave following allegations of inappropriate sexual behaviour and his decision to resign as Archbishop of St Andrews and Edinburgh. Because of old age and an inability to reach Rome, Cardinal Julius Darmaatmadja, from Indonesia, will not be entering the conclave, either. Read more