Revenue from non-renewable resources, taxes generate Sask. The deficit was $1.14B lower than projected Pi News

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Saskatchewan’s Finance Minister Donna Harpower released her final financial statement for 2021-22 on Thursday, showing that the deficit was $ 1.14 billion lower than forecast.

The 2021-22 budget forecasts a $ 2.6 billion deficit, the largest in provincial history. That forecast grew to $ 2.7 billion in the mid-year fiscal update in November.

In March, when the 2022-23 budget was released, Harpauer said the deficit would be lower than projected due to higher oil and potash prices and rising revenue from taxes.

On Thursday, Harpauer’s final update for 2021-22 showed a deficit of $ 1.47 billion.

“The province is back on track with Saskatchewan’s progress in the fiscal year and our government’s strong financial plan,” Harbor said.

He said the nearly $1 billion in tax revenue from the budget proposal is a good indicator of the province’s financial recovery from the pandemic.

“All of the tax levels were much higher than we expected, not above pre-pandemic levels, but the fact that they were so strong is a direct indicator that our economy is recovering deeply and quickly,” Harborer said.

Barring a drought in 2021 and resulting crop insurance claims and livestock supports, “we’ll be almost in balance,” Harpauer said during a mid-November update.

On Thursday, he said the drought played a significant role in how the province’s finances ended the year.

“We still have a substantial shortfall due to crop insurance demand. This is the highest in the history of the province at $ 2.5 billion. We had that in mind and we do not have to borrow for crop insurance.”

revenue

Total revenue for 2021-22 is $ 18.14 billion, which is $ 3.66 billion more than the budget plan:

  • Non-renewable resource revenue was $ 2.92 billion, which is $ 1.59 billion more than the budget.
    • Potash revenue was $1.27 billion.
    • Oil and natural gas revenue $ 1.01 billion.
  • Tax revenue was $ 8.20 billion, an increase of $ 964.26 million from the budget.
  • Federal transfer revenue was $3.46 billion, an increase of $551 million from the budget.

Costs

Total expenditure for 2021-22 is $ 19.6 billion, $ 2.52 billion more than budgeted:

  • Agricultural spending was $ 3.19 billion, an increase of $ 2.32 billion (263 percent) from the budget.
  • Health spending was $6.88 billion, $348 million above budget.

Saskatchewan’s public debt was $ 27.24 billion, $ 529 million less than the budget.

“As the state [we] Borrow less, mostly because of the lower deficit,” Harborer said.

The government says the opposition. To provide relief for inflation

In response to the budget update, opposition finance critic Trent Wotherspoon said Saskatchewans face “an extraordinary situation” as the cost of living rises.

“The reality is that Saskatchewans are heading into Canada Day with a 40-year high in inflation.”

Wotherspoon said Thursday the government has the fiscal capacity to deliver savings to Saskatchewans due to a “windfall” from higher commodity prices.

He urged the province to “immediately drop those stupid increases and new measures surrounding the PST, and to immediately use the cost of living and fuel discounts, and to immediately stop the $ 0.15 per liter fuel tax during the summer months.”

Worspoon said the government should “step up” and provide $50 million to school divisions facing budget shortfalls.

Asked about the possibility of a cost-of-living rebate, Harbour said he would wait until August, when the government releases its first-quarter fiscal update.

“We’re not going to spend what we did not promise would not be.”