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

Former UN committee member defends stance on Coastal GasLink pipeline

First Nations LNG Alliance accused UN committee, human rights watchdog of not doing their research

Coastal GasLink stresses pipeline ‘on a schedule’ as B.C. appoints liaison for Wet’suwet’en

670-kilometre pipeline is schedule to be completed by end of 2023

Jonathan Dieleman announces his retirement from competitive swimming

The Bulkey Valley paralympic swimmer made the announcement early Monday morning.

Witset chosen for housing innovation funding program

Proposal to build healing lodge for at-risk youth one of four selected in B.C.

Minister of Indigenous Relations and Reconciliation and hereditary chiefs agree to future meeting

Scott Fraser was in Smithers on Jan. 22 and spoke with Office of the Wet’suwet’en representatives

VIDEO: Feds look to help 126 Canadians quarantined in China for coronavirus

China has confirmed more than 4,500 cases of the new virus, with more than 100 deaths

Sap thief taps Saanich park maple trees, faces hefty fine

One tree found with four taps in Mount Doug Park

B.C. reports first coronavirus in Vancouver region

First patient visited Wuhan, China, reported symptoms

Uber threatens legal action to ‘defend its right’ to operate in Surrey

‘I have no concerns,’ Mayor Doug McCallum replies

Victoria resident says WestJet employee uttered racist comment, refused to let her on plane

Customer claims she was told ‘You guys can’t handle your alcohol’ by WestJet employee

Bystander who tried to help dog being attacked not liable for its death: B.C. tribunal

Owner of dog killed tried to get $5,000 in damages from man who tried to save it

INFOGRAPHIC: See how fast your B.C. city grew in 2019

The province’s fastest-growing municipalities were located on Vancouver Island

Landowner hearings begin for Trans Mountain expansion in Alberta

Detailed route talks start in Spruce Grove, in B.C. communities soon

Alessia Cara to host and perform at 2020 Juno Awards

Multi-platinum Canadian singer-songwriter also up for six awards, including Artist of the Year

Most Read