Achi news desk-
OTTAWA –
The federal government recorded a budget deficit of $25.7 billion at the end of January for the current fiscal year.
The Department of Finance says in its monthly fiscal monitor that the deficit between April and January compares with a deficit of $6.4 billion during the same period a year earlier.
The fiscal monitor offers a final look at the state of federal finances before Finance Minister Chrystia Freeland presents the budget on April 16.
Freeland has promised that the government will stick to the fiscal guardrails it promised in the fall, including keeping the deficit capped at about $40 billion for the current fiscal year.
The latest figures suggest that government revenue increased by $10.5 billion, or three per cent, mainly due to higher personal income tax revenue, other tax revenue and non-tax revenue.
Meanwhile, program expenses excluding net actuarial losses increased by $21.2 billion, or 6.7 percent as spending increased across all major categories.
Public debt payments rose by $10.3 billion, or 35.9 percent, mainly due to higher interest rates.
Net actuarial losses decreased by $1.9 billion, or 23.2 percent, compared to the same period a year earlier.
This report was first published by The Canadian Press on March 22, 2024.
