Monday, January 26th1.1°C
24736
24105

Oliver says Ontario needs to tackle its large deficit in upcoming budget

OTTAWA - Finance Minister Joe Oliver says the newly-elected Liberal government in Ontario should use its first budget to tackle the province's serious deficit problem.

The federal finance minister says his government will almost certainly balance its budget next year and that Ontario could take a lesson from that example.

Ontario, which holds a $12.5-billion deficit, elected a Liberal government last week.

The minister made the comments after meeting more than a dozen private sector economists at his office, the first such meeting for Oliver since being named finance minister in March.

The economists advised Oliver that the weather-related first quarter economic dip in the economy will shave about one-tenth of a percentage point from growth projected in the 2014 federal budget.

But that likely won't impact government revenues, they said. In fact, revenues may be higher than expected because strong oil prices likely will translate in to higher tax revenues.

Bank of Montreal chief economist Doug Porter says barring an unforeseen economic shock, he believes Ottawa may get to a balanced budget position sometime during the current fiscal year.

Once the budget is balanced, Oliver says the government can proceed to fulfil its election promise and introduce income splitting.

The minister also says he does not believe Canada is experiencing a housing bubble, although he adds that the government still plans new measures to lessen the reach of Canada Mortgage and Housing Corp. in the mortgage insurance market.

The Paris-based OECD recommended last week that Ottawa reduce the percentage of mortgage loan CMHC insures from the current 100 per cent and Oliver says that is one avenue the government could pursue.

The Canadian Press


Read more Business News

24667


Recent Trending




Today's Market
S&P TSX14780.72+1.37
S&P CDNX673.36-4.82
DJIA17651.57-21.03
Nasdaq4764.426+6.547
S&P 5002053.07+1.25
CDN Dollar0.8043+0.0004
Gold1281.40-11.20
Oil47.75+0.44
Lumber315.70+4.20
Natural Gas2.87-0.116

 
Okanagan Companies
Pacific Safety0.12+0.005
Knighthawk0.010.00
QHR Technologies Inc1.37-0.01
Cantex0.035+0.005
Anavex Life Sciences0.185+0.004
Metalex Ventures0.040.00
Russel Metals24.50+0.02
Copper Mountain Mining1.11+0.01
Colorado Resources0.145-0.01
ReliaBrand Inc0.006+0.001
Sunrise Resources Ltd0.055+0.03
Mission Ready Services0.22+0.02

 



23015

FEATURED Property
180350220 - 180 Sheerwater Court, Kelowna, BC
10088870 bedrooms
$799,000
more details
image2image2image2
Click here to feature your property
Please wait... loading


How to price: workbook approach

In 2008 Self Counsel Press published my book - Pricing Strategies for Small Business. The book is now available in Europe, India, Russia and the United States. The purpose of the book was to make avai...


Ailing Parents: Tax Issues

If your parent has become ill, there can be several tax issues that come into play depending on the nature of their illness, their age and the role that family members are playing. For example, if you...


What do I pay ICBC for anyway?

If you have had ongoing dealings with ICBC as a result of a car accident than you have likely had the pleasure of dealing with at least two sides of ICBC. Initially the relationship starts off pleasan...

_








Member of BC Press Council


24697