The government ended the 2021-2022 fiscal year with a surplus of $2.8 billion, the government’s consolidated financial statements released on Wednesday show.
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“These results show that Quebec’s economic recovery has been strong. The next few months will be more difficult for all economies around the world, but Quebec is entering this cycle by relying on sound public finance management,” Finance Minister Eric Girard said in a press release.
These surpluses are the result of a favorable economic climate as stated in the public accounting document. “Quebec’s finances have benefited from the positive impact of the economic recovery, boosted in particular by the easing of health measures,” we read.
In fiscal year 2021-2022, the government generated revenue of US$138.8 billion, an increase of US$16.2 billion (13.2%) over the previous year.
During the same period, government spending also increased, but less than revenue ($9.1 billion).
Still, the budget balance shows a deficit of $772 million due to the $3.6 billion paid into the Generations Fund. However, by using the same amount of the stabilization reserve, the government has achieved a balanced budget within the meaning of the law.