(SK) Budget On Track to Meet Fiscal Challenges

(SK) Budget On Track to Meet Fiscal Challenges

Postby Oscar » Fri Aug 25, 2017 9:42 am

Budget On Track to Meet Fiscal Challenges

[ http://www.saskatchewan.ca/government/n ... ter-report ]

Released on August 25, 2017

The 2017-18 Saskatchewan Budget remains on track at first quarter, with no change in the bottom-line forecast.

“The Saskatchewan economy is performing well so far, and for the first time in two years is projected to post positive growth,” Finance Minister Kevin Doherty said. “We have more to accomplish, but at first quarter we are meeting our fiscal challenge by controlling spending and shifting away from over-reliance on volatile resource revenue.”

At first quarter, a deficit of $684.7 million is forecast, unchanged from budget. Revenue at first quarter is forecast to increase $42 million (0.3 per cent) from budget, while total expense is forecast to increase by about $82 million (0.6 per cent).

As planned, part of the budget’s $300 million contingency—about $40 million—is being used to offset expense pressures. A further $125 million of the contingency is being used to offset compensation savings that, because of the time required for negotiations to continue, will not be achieved this fiscal year.

“The reason we built a contingency into this year’s budget was to help address in-year pressures,” Doherty said. “We still have work to do to control government’s overall costs, including savings we are working hard to achieve in total compensation expense.”

Most key indicators for Saskatchewan’s economy have been positive so far in 2017, including:

•the third-highest growth among Canadian provinces in manufacturing sales;
•the third-highest growth in average weekly earnings;
•the third-highest growth in population; and
•the second-highest growth in new motor-vehicle sales.

“Private sector forecasters have recognized strength in Saskatchewan’s economic performance and have increased real GDP growth forecasts for 2017 from an average of 1.7 per cent at budget to 2.1 per cent,” Doherty said. “At first quarter, our government remains on track with our fiscal plan to return Saskatchewan’s budget to balance in three years, by 2019-20.

“We need to follow and achieve our plan to continue on our path of growth, and to provide the services, programs and infrastructure Saskatchewan people value and need - today and into the future.” -30-

For more information, contact:

Jeff Welke, Finance
Regina
Phone: 306-787-6046
Email: jeff.welke@gov.sk.ca
Cell: 306-536-1185
Oscar
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Posts: 8259
Joined: Wed May 03, 2006 3:23 pm

Re: (SK) Budget On Track to Meet Fiscal Challenges

Postby Oscar » Wed Nov 29, 2017 11:03 am

2017-18 Budget Remains On Track at Mid-Year

[ http://www.saskatchewan.ca/government/n ... ear-report ]

Released on November 29, 2017

Saskatchewan’s 2017-18 Budget remains on track, confirmed by the province’s mid-year financial report released today.

“Saskatchewan’s economy is performing well and is expected to post positive growth for the first time in two years,” Finance Minister Donna Harpauer said. “The budget contingency is more than enough to offset unrealized compensation savings in 2017-18, as well as a $44 million net decline in government operations.”

At mid-year, the 2017-18 deficit projection is $679 million, $6 million less than the budget estimate of $685 million.

Revenue is projected to be down $53 million from budget, reflecting reductions in tax and resource revenue, largely offset by increases in the other revenue sources.

Expense is projected to be $9 million less than the budget estimate, with a large reduction in expected crop Insurance claims offset by utilization-driven spending increases for medical services, income assistance, child and family services, forest fire-fighting costs, and higher corrections custody counts.

“Compensation savings projected at budget are not likely to be achieved in 2017-18,” Harpauer said. “This, combined with the lower revenue projection, fully uses the $300 million planned contingency established when the 2017-18 Budget was announced. While it is taking longer than we would have liked, our government has asked employers to continue to pursue compensation savings, as part of continuing to manage our expenses very carefully as we pursue our plan to balance the budget by 2019-20.

“Overall, Saskatchewan’s finances and economy remain on track with budget expectations. Fueled by a strong performance in the resource sector, Saskatchewan’s real GDP is forecast to grow by 1.5 per cent in 2017 and 2.2 per cent in 2018. A return to normal crop production in 2018, in addition to rising oil prices and strong oilfield investment, is expected to support stronger growth in 2018.” -30-

For more information, contact:

Jeff Welke, Finance, Regina
Phone: 306-787-6046
Email: jeff.welke@gov.sk.ca
Cell: 306-536-1185
Oscar
Site Admin
 
Posts: 8259
Joined: Wed May 03, 2006 3:23 pm


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