Provincial debt down as province reports surplus

Deputy Premier and Minister of Finance Siobhan Coady provided an update on the financial status of the province today.

The provincial government is projecting higher than forecast revenue by $1.33 billion for the fiscal year ending March 31, 2023, primarily due to offshore royalties, corporate income tax, personal income tax and sales tax.

The projected increase in revenues enables the government to reduce the net debt to $16.04 billion, a reduction of $1.01 billion from the original Budget 2022 estimate of $17.05 billion.

Borrowing requirements are reduced from $2.7 billion to $1.8 billion for 2022-23.

The provincial government also intends to provide $157 million to the newly established Future Fund.

The provincial economy is also doing well. The unemployment rate fell to 8.2 percent in September, the lowest rate since consistent records began in 1976, there has been population growth, more housing starts, and the tourism sector is performing well.