The Quebec government has revised its financial outlook for the upcoming fiscal years, showing positive improvements in its financial statements. Finance Minister Eric Girard announced that the financial statements for 2024-2025 have been adjusted upward, with an accounting deficit of $5.2 billion, representing 0.8% of GDP, indicating an improvement over the previous year’s deficit. Despite this positive revision, the budget balance forecast for the following year remains unchanged.
Minister Girard highlighted that the revision was driven by an increase in revenues by nearly $1 billion and a decrease in spending growth from 7.7% to 6.4%. The government aims to return to a balanced budget by 2029-2030, reflecting its commitment to fiscal responsibility.
Looking ahead to the future fiscal year of 2025-2026, the Ministry of Finance projects a consistent accounting deficit and budget balance, with figures remaining at $11.4 billion and $13.6 billion, respectively, as forecasted in March 2025. Minister Girard expressed optimism about Quebec’s financial position compared to other provinces, emphasizing the importance of maintaining stability amidst economic uncertainties.
Addressing the ongoing trade dispute with the United States, Minister Girard noted that Quebec’s financial framework is resilient, with revenues and expenditures tracking as expected. He underscored the significance of the Canada-United States-Mexico Agreement (CUSMA) in shaping Quebec’s economic outlook, highlighting the need for a favorable agreement to sustain economic stability.
In conclusion, Minister Girard emphasized the importance of the upcoming CUSMA renegotiation for the Canadian and Quebec economies, acknowledging the potential impact on trade relations and economic performance.
