Third-quarter deficit smaller than expected, says Manitoba’s finance minister

The province‘s deficit projection shrunk by about $35 million in the third quarter, says Manitoba’s Finance Minister.

“Manitoba is showing continued progress toward balancing the budget and steadily reducing the deficit,” said Minister Scott Fielding Tuesday, before crediting Manitoba’s steady economy for the extra revenue.

The third-quarter report for the 2019-2020 fiscal year shows the province’s projected deficit at the end of the year will be about $325 million, down from a previously estimated $360 million.

Revenue is up $248 million thanks to an increase in corporate income taxes, said Fielding. Expenses are also up $118 million, mostly for new environmentally friendly initiatives, he said.

While the economy is growing more slowly than expected, the government is also spending a lot less in areas such as housing and education.

The third-quarter financial report can be found online here.

–With files from the Canadian Press

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