Saskatchewan Reports Operating Surplus of $182 MillionSaskatchewan Reports Operating Surplus of $182 Million Despite facing a deficit of $482.5 million in its third quarter budget update, Saskatchewan has ended the 2023-2024 fiscal year with an operating surplus of $182 million. This improvement is attributed to a combination of increased revenues and reduced spending. Revenue Increases Revenues rose by $610 million compared to the third quarter budget update. The Ministry of Finance attributed this increase to higher taxes and other own-source revenues. This growth is driven by Saskatchewan’s growing population and its second-fastest growing economy in the country. Spending Reductions Spending fell by $55 million compared to the previous update. While agriculture and healthcare experienced increased costs, these were offset by reductions in other areas. Economic Strength Treasury Secretary Donna Harpauer emphasized the province’s economic strength as a contributing factor to the surplus. Saskatchewan has experienced significant growth across various sectors. Future Projections Harpauer acknowledged the challenges of financial forecasting, citing global and domestic uncertainties. However, she expressed confidence in the province’s economic performance and its ability to meet future financial challenges. Additional Highlights * Saskatchewan’s population reached a record 1,231,043 in April. * The province experienced increased demand for healthcare services. * The Ministry of Finance highlights the importance of financial discipline while also investing in priority areas such as education, healthcare, and community support.
Finance Minister Donna Harpauer said the province “saw significant revenue increases from the third quarter to the end of the year for all sources except federal transfers.” (Brittany Caffet/650 CKOM)
Saskatchewan ended the 2023-2024 fiscal year with an operating surplus of $182 million, the Ministry of Finance reported Thursday.
Spending fell by $55 million compared to figures in the government’s third quarter budget update, the ministry said, while revenues rose by $610 million.
The ministry said the third quarter update forecast a deficit of $482.5 million, meaning the surplus represents an improvement of $664.7 million.
According to the government, the change was due to “significant increases in taxes and other own-source revenues” driven by the province’s growing population and the country’s second-fastest growing economy.
According to Statistics Canada, the province reached a record 1,231,043 in April.
“We experienced significant revenue increases from the third quarter through the end of the year from all sources except federal transfers,” Treasury Secretary Donna Harpauer said in a statement.
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“At the same time, there was also a substantial increase in costs during the year. This investment is needed to support our growing province and the things that matter most to Saskatchewan residents – classrooms, care and communities.”
When it comes to costs, agriculture saw the biggest increase due to higher crop insurance payments. Healthcare costs were also higher because demand increased.
Harpauer said it is important to make financial predictions, but noted that situations at home and around the world “have led to some extraordinary swings over the course of 2023-2024.
“Fortunately,” she added, “we were able to end the year with a surplus thanks to the strength of our economy, which continues to show increasing growth across a wide range of sectors.”
More to come…
