Canada posts a budget deficit of C$26.14 billion over first nine months of 2025/26

Kitco Media
By Reuters
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Reuters
Canada posts a budget deficit of C$26.14 billion over first nine months of 2025/26 teaser image

OTTAWA, Feb 27 (Reuters) - Canada recorded a budget deficit of C$26.14 billion ($19.15 billion) for the first nine months of the 2025/26 fiscal year as government expenditures grew faster than revenues, the finance ministry said on Friday.

By comparison, the deficit in the same period a year earlier had been C$21.72 billion, it said in a statement.

Program expenses rose 3.5% on increases across all major categories. Public debt charges decreased by 0.6% reflecting lower interest rates on treasury bills and on cross-currency swap transactions and other liabilities, the ministry said.

Year-to-date revenues grew by 2.2%, largely reflecting higher income from custom import duties and corporate and personal income tax revenues.

On a monthly basis, Canada posted a small surplus of C$245 million in December, compared to a C$1 billion surplus in December 2024.

($1 = 1.3651 Canadian dollars)

(Reporting by Promit Mukherjee, editing by David Ljunggren)

((Reuters Ottawa bureau; david.ljunggren@tr.com, opens new tab))
Keywords: CANADA BUDGET/

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