Ottawa, February 26, 2010
Archived - Release of The Fiscal Monitor
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The Honourable Jim Flaherty, Minister of Finance, today released The Fiscal Monitor for December 2009.
December 2009: budgetary deficit of $3.1 billion
There was a budgetary deficit of $3.1 billion in December 2009, compared to a surplus of $0.3 billion in December 2008. The December 2009 deficit reflects the impact of the weaker economy on the Government’s finances, as well as measures introduced under Canada’s Economic Action Plan. Revenues were down $1.1 billion from December 2008, reflecting declines in personal and non-resident income tax revenues, Employment Insurance (EI) premium revenues and other revenues. Program expenses increased by $2.2 billion compared to December 2008, reflecting increased transfer payments and higher operating expenses of Crown corporations, departments and agencies. Public debt charges increased by $0.1 billion compared to December 2008.
April to December 2009: budgetary deficit of $39.4 billion
For the first nine months of the 2009–10 fiscal year, the budgetary deficit was $39.4 billion, compared to a surplus of $0.4 billion reported in the same period of 2008–09. Over $16 billion of the $39.4-billion deficit was attributable to actions taken under Canada’s Economic Action Plan, including tax reductions, enhanced EI benefits and support for the automotive industry. Revenues were down $19.4 billion, or 11.2 per cent, reflecting declines across most revenue streams. Program expenses were up $22.0 billion, or 14.8 per cent, mainly reflecting higher EI benefit payments, higher transfers to other levels of government and support for the automotive industry. Public debt charges were down $1.7 billion on a year-over-year basis, reflecting lower interest rates.
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Office of the Minister of Finance
Department of Finance
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