Ottawa runs $11.5B deficit over first 11 months of 16-17 fiscal year
OTTAWA — The federal government ran a deficit of $11.5 billion over the first 11 months of its 2016-17 fiscal year, putting it well ahead of its spring budget forecast with one month to go.
The result compared with a surplus of $7.5 billion during the April-to-February period a year earlier.
Not counting a $3-billion contingency cushion, Ottawa’s spring budget projected a deficit of $23 billion for 2016-17.
However Robert Kavcic, senior economist at the Bank of Montreal, cautioned that the government generally runs a large deficit in March as Canadians file their tax returns and receive their refunds.