Smaller deficit, rising energy prices: Towes Outlines Alberta Finances
After a terrible 2020, with a global pandemic, and energy prices on the decline, Alberta Finance Minister outlines a silver lining in the budget update on Tuesday Morning.
Drilling activity and oil production have increased while business output remains solid, with manufacturing shipments and non-energy exports up more than 20 per cent year-to-date, according to the finance minister.
Travis Toews, Alberta's President of Treasury Board and Minister of Finance said in a news conference on Tuesday that what the government is doing is making a difference at the end of the day, “Our persistent focus on attracting new investment and improving competitiveness for our key sectors is making a difference.
"We are seeing billions of dollars of new investment and capital deployed in the province, and its happening in hydrogen, tech, aerospace, petrochemicals and many other areas. As we maintain responsible fiscal management, Alberta will reap the rewards of a more stable and prosperous future," He added.
The deficit for 2021-22 is forecast at $5.8 billion. This is $12.4 billion lower than the budget estimate.
Spending is up though forecasted at $57.9 billion, $14.2 billion higher than the budget estimate.
Toews pointed to the provincial job numbers to point that the economy is on the rebound.
Alberta has gained more than 103,000 jobs since the start of the year. With the unemployment rate dropping to 7.6 per cent. It is forecast to drop to 5.7 per cent in 2024.
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