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

Just Posted

Ucluelet mayor criticizes province’s lack of communication as highway closures resume

Daily closures return to only highway in and out of Tofino-Ucluelet starting Sept. 30

EDITORIAL: Let’s take steps to clear the smoke

Work needed to make wildfires, heavy smoke and poor air quality things of the past

Island Corridor Foundation launches survey on importance of Vancouver Island rail

“ICF remains 100 per cent committed to the restoration of full rail service on Vancouver Island”

West Shore man sentenced to four and a half years for sexually abusing foster daughter

Abuse took place over a three year period while daughter was between ages of 13 to 15

WorkSafeBC investigating death at Victoria Customs House construction site

Prevention officer will ensure all safety issues addressed before work starts again

BC Liberal Leader talks drug addiction in the Lower Mainland

Drug addiction and public safety a top priority says Andrew Wilkinson

Nanaimo RCMP seize firearms, ID, portable debit machine as ‘prolific offender’ arrested

Austin Carlson-McPherson, 24, accused of crimes in Nanaimo, Duncan, Port Renfrew and Sooke

Island RCMP remind drivers not to text after 19 tickets handed out in 90 minutes

The $368 fines were handed out Tuesday on Norwell Drive and Old Island Highway in Nanaimo

North Island MP accuses federal Liberals of ignoring veterans

NDP critic critical of Throne Speech priorities

Film about missing and murdered indigenous women makes Nanaimo debut

A mother and daughter search for answers in Sonia Bonspille Boileau’s ‘Rustic Oracle’

Vanderhoof’s Brian Frenkel takes on top job in tough times

We can get through this, new local government leader says

Local councils important, Horgan says as municipal conference ends

B.C. NDP leader says ‘speed dating’ vital, online or in person

Three years for serial bank robber who hit southern Vancouver Island branch

Lucas Bradwell was wanted for robberies in Abbotsford, Sidney and Vancouver

Most Read