Canada's finance ministry announced that the country's budget deficit for the first eight months of the 2024/25 fiscal year was C$22.72 billion, slightly higher compared to the same period last year. This increase was attributed to government expenditures outpacing revenues. In the previous fiscal year, the deficit stood at C$19.14 billion from April to November.
During the eight-month period, program expenses saw an 11.3% increase across all major spending categories. Additionally, public debt charges rose by 17.4%, driven by higher interest rates on bonds and an expansion in the number of debt instruments.
Revenues grew by 10.5% year-to-date, mainly due to increased tax revenues. In November alone, Canada reported a deficit of C$8.21 billion, more than double the C$4.01 billion deficit recorded in November 2023.
($1 = 1.4512 Canadian dollars)