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Canada Runs Surplus In June to The Tune Of $1.6 Billion As Revenue Rises, Spending Drops

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OTTAWA - The federal government ran a surplus of $1.6 billion in June compared with a surplus or $200 million in the same month last year.

The Finance Department said the increase came as revenue climbed $900 million or 3.8 per cent due to higher revenues from non-resident income tax, excise taxes and duties and employment insurance premiums.

Program spending was down $700 million or 3.2 per cent due to lower direct program expenses. Public debt charges increased by $100 million or 5.1 per cent.

For the April-to-June period the government had a surplus of $400 million compared with a deficit of $2.6 billion in the same period a year ago.

Revenues for the fiscal year to date were up $2.5 billion or 3.8 per cent, while program spending was down $400 million or 0.7 per cent.

Public debt charges for the period were down $49 million, or 0.6 per cent.

The fiscal monitor said the results for the first three months of the fiscal year provided limited information with respect to the outlook for the year as a whole, but suggested the results were on track with the spring budget.

An update of the economic and fiscal outlook for the year is expected in the fall.


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