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

Report looks at COVID-19’s impact on violence in the family

Police across Canada reported almost 100,000 cases of intimate partner violence in 2018

Greater Victoria woman creates ‘call list’ for seniors to tackle loneliness

Call list allows seniors to have some friendly conversation during isolating times

Saanich’s Shelbourne corridor work set to start despite pandemic

Municipal work is deemed an essential service, keeping the long-term project on track

Foundation funds High Acuity Unit for Royal Jubilee Hospital to support COVID-19 patients

HAU provides level of critical care that can not be performed on other wards

UPDATE: Canadians awake to extra COVID-19 emergency benefit money, feds clarify changes

The CRA and federal officials are working to clarify the confusion around payments

132,000 B.C. jobs lost just the start of COVID-19 impact, finance minister says

B.C.’s latest employment figures for March show 7.2% increase

B.C. asking companies to contribute through online COVID-19 supply hub

New platform to co-ordinate, source, expedite supplies and equipment to support front-line workers

Controls can keep Canadian COVID-19 deaths under 22,000, health agency says

With poor containment measures, the death toll could be much, much higher, the agency says

People needing addictions services feel ‘abandoned’ during pandemic, B.C.’s ex-top doctor says

Widespread job losses and more homelessness due to physical distancing at shelters have added hurdles

Canada lost 1,011,000 jobs in March, unemployment rate up to 7.8%: StatCan

Unemployment rate hits levels not seen since 2010

COVID-19 world update: 6.6 million U.S. jobless claims; alcohol sales banned in Bangkok

Comprehensive digest of coronavirus news items from around the world

B.C. sorting medical equipment sales, donation offers for COVID-19

Supply hub has call out for masks, gowns, coronavirus swabs

Most Read