Why MNI
MNI is the leading provider
of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.
Canada's finance department on Friday reported a CAD1.7 billion budget surplus from the start of the fiscal year in April through September, as the economic rebound from the pandemic continues to defy the government's forecast of a big deficit.
Revenue climbed 19% or by CAD33 billion and program spending fell 18% or CAD40 billion, reflecting the end of Covid income supports and more people paying sales and income taxes. Public debt charges jumped 48% or CAD5.6 billion as bond yields rose, and the government is also holding CAD77 billion of cash. The prior year-to-date deficit was CAD69 billion.
Finance Minister Chrystia Freeland on Nov. 3 pared the projected deficit for this fiscal year to CAD36 billion from an earlier estimate of CAD53 billion as the economy picked up. Freeland said she was offering some fiscal restraint to avoid making the central bank's inflation fight more difficult while also spending some of the windfall, a stance some experts reject. (See: MNI INTERVIEW: Canada Still Lacking Fiscal Restraint-Ex Deputy)
The deficit for the month of September shrank to CAD2.2 billion from CAD11 billion in the same month a year earlier.
Why MNI
MNI is the leading provider
of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.