Alberta spending more, but saving more: Highlights from the fiscal update
New numbers show Alberta's economy continues to dig itself out of the deep hole caused by crashing oil prices, with Premier Rachel Notley's government saving more -- and spending more. Alberta Finance Minister Joe Ceci speaks about the Government of Alberta's 2016-17 year-end financial results, in Edmonton on Thursday, June 29, 2017. THE CANADIAN PRESS/Jason Franson
February 28, 2018 - 12:46 PM
EDMONTON - Alberta Finance Minister Joe Ceci released the third-quarter fiscal update Wednesday showing the province on track for a $9.1-billion deficit when the budget year ends March 31 — $1.4 billion lower than expected. Here are some other highlights from the update:
— The province is expected to take in an extra $1.9 billion in revenue this year for a total of $46.9 billion.
— Spending is going up to $55.9 billion, about $1 billion more than projected in last spring's budget.
— Crude oil royalties to bring in $883 million, almost double what was expected.
— Revenue from bitumen royalties to be $2.4 billion, about $188 million less than projected.
— Personal income tax revenue expected to be $10.9 billion, $322 million less than expected.
— Corporate income tax to generate $3.9 billion, about $66 million less than budget.
— Capital plan spending forecast to be $9.2 billion, in line with the budget.
— The unemployment rate was projected at 7.6 per cent at budget, but is now pegged at 6.8 per cent.
— Of the 90,000 new full-time jobs created in the last year, most are in the oil and manufacturing sectors.
— Debt for capital and operating expenses is forecast to reach $41.7 billion — about 12.4 per cent of GDP — with debt servicing costs at $1.4 billion.
News from © The Canadian Press, 2018