Feds post $5.8B deficit in first half of 2019-20 fiscal year

Compare that to a surplus of $1.2 billion in the same period last year

People make their way along Parliament Hill in Ottawa on Wednesday, Nov. 13, 2019. THE CANADIAN PRESS/Sean Kilpatrick

The federal government ran a deficit of $5.8 billion over the first six months of its 2019-20 fiscal year compared with a surplus of $1.2 billion in the same period last year.

The Finance Department says the deficit came as program expenses climbed $12.4 billion to $156.9 billion compared with $144.5 billion last year.

The increase in spending was due to increases in major transfers to persons, major transfers to other levels of government and direct program expenses.

Revenues were up $6.1 billion at $164.1 billion compared with $158 billion a year ago, due to increases in personal and corporate income tax revenues, according to the department’s monthly fiscal monitor.

Public debt charges increased by $700 million to nearly $13 billion compared nearly $12.3 billion with a year ago due to higher consumer price index adjustments on real return bonds and a higher average effective interest rate on Government of Canada treasury bills.

READ MORE: Re-elected Liberals would still run big deficits, despite new taxes

The Liberal government forecasted a deficit in last spring’s budget of $19.8 billion for the 2019-20 fiscal year.

The Canadian Press

Like us on Facebook and follow us on Twitter

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

Alberta discussing early Stage 2 economic relaunch

Nineteen new COVID-19 cases confirmed by government Wednesday

Sylvan Lake-based Family Resource Network servicing Eckville, Benalto

Due to COVID-19 supports are being delivered through phone calls, texts, online platforms and emails

Documentary about a Sylvan Lake man and his team to be featured at Okotoks Film Festival

Living the Warrior Code documents Scott Mcdermott and his team’s journey back to the Ultraman race

Israeli, Chinese policies ‘concern’ Canada, undermine freedom, says Trudeau

Israeli, Chinese policies ‘concern’ Canada, undermine freedom, says Trudeau

House of Commons can manage virtual voting securely if MPs want it, Speaker says

House of Commons can manage virtual voting securely if MPs want it, Speaker says

Facing changes together: Your community, your journalists

Sylvan Lake News is firmly committed to seeing you through the changes ahead, but we need your help

Facing changes together: Your community, your journalists

Sylvan Lake News is firmly committed to seeing you through the changes ahead, but we need your help

Hydroxychloroquine does not prevent COVID after exposure to the virus: study

Hydroxychloroquine does not prevent COVID after exposure to the virus: study

Nunavut RCMP to consider body cameras as tension between police, Inuit grows

Nunavut RCMP to consider body cameras as tension between police, Inuit grows

Stockwell Day steps down from several roles after comments about racism

Stockwell Day steps down from several roles after comments about racism

Trudeau to join global COVID-19 vaccine fundraiser amid calls for fair access

Trudeau to join global COVID-19 vaccine fundraiser amid calls for fair access

Joint inquiry or review of mass killing taking shape, N.S. justice minister says

Joint inquiry or review of mass killing taking shape, N.S. justice minister says

Greens likely to hold virtual leadership convention due to pandemic: May

Greens likely to hold virtual leadership convention due to pandemic: May

Meng hearing schedule to expand; lawyers ask for ‘referee’ in case

Meng hearing schedule to expand; lawyers ask for ‘referee’ in case

Most Read