Quebec Finance Minister Eric Girard introduced his budget on Tuesday, under a cloud of possible U.S. tariffs on Canadian goods that he forecasts will average 10 per cent in the next two years. Here are some highlights:
- Deficit of $13.6 billion, or 2.2 per cent of GDP, including payments of about $2.2 billion into a fund dedicated to paying down debt.
- Return to a balanced budget by fiscal year 2029-30.
- Total spending on government operations of $156.1 billion, an increase of 1.8 per cent, excluding debt servicing.
- Debt servicing of $9.7 billion, bringing total government spending to $165.8 billion.
- Real GDP growth, which accounts for inflation, of 1.1 per cent in 2025 and 1.4 per cent in 2026.
- Increase of $11 billion over three years for infrastructure projects, for total spending of $164 billion over 10 years.
- $5.4 billion over five years, including $1.3 billion in 2025-26, to help stimulate the economy and help companies affected by U.S. tariffs.
- Contingency reserve of $2 billion to be used if economic growth is lower than projected.
- Net debt of $235.8 billion as of March 31, representing 38.7 per cent of GDP.
- Equalization payment from the federal government of $13.6 billion, an increase of 1.9 per cent.
- $125 annual fee for owners of electric vehicles to go toward road maintenance, starting in 2027.
This report by The Canadian Press was first published on March 25, 2025.
