Despite a pledge from the Liberals to cut billions of dollars in spending, Thursday’s budget will see an increase in spending on Canada’s military, Defence Minister Anita Anand told the Senate national security committee on Monday..“We are forecasted to spend approximately 1.36% of GDP on defence in this fiscal year and this will increase,” testified Anand..Military spending “is going to continue to increase over the next number of years,” she added..“We are having a 70% increase in military spending over a nine-year period,” said Anand, citing figures from 2017..“We are going to see a number of continued procurements.”.NATO has mandated member countries spend a minimum 2% of GDP on defence. Canada’s GDP is $2.6 trillion. Defence spending totaled $23.6 billion last year, according to Public Accounts..Cabinet committed to cutting its deficit by $183.2 billion this year..“That will be in the budget,” Finance Minister Chrystia Freeland told reporters last December 14. Deficit forecasts from the Department of Finance included:.• $327.7 billion in 2021;• $144.5 billion in 2022;• $58.4 billion in 2023;• $43.9 billion in 2024;• $29.1 billion in 2025;• $22.7 billion in 2026;• $13.1 billion in 2027..“Really the intention here is a clear and transparent accounting of where the Canadian economy and Canadian finances are today,” Freeland said at the time..Forecasts of a dramatic decline in the deficit were based on projections that inflation would remain under 5% and income tax revenues would rise 6% “as the economy improves.”.“Fiscal prudence requires acknowledging there remains uncertainty ahead with factors like variants of concern and the persistence of global supply chain disruptions remaining uncertain,” Freeland wrote in a Fiscal Update last December 14..“The government remains committed to unwinding Covid-19 related deficits.”.Parliament has not balanced a budget since 2007.
Despite a pledge from the Liberals to cut billions of dollars in spending, Thursday’s budget will see an increase in spending on Canada’s military, Defence Minister Anita Anand told the Senate national security committee on Monday..“We are forecasted to spend approximately 1.36% of GDP on defence in this fiscal year and this will increase,” testified Anand..Military spending “is going to continue to increase over the next number of years,” she added..“We are having a 70% increase in military spending over a nine-year period,” said Anand, citing figures from 2017..“We are going to see a number of continued procurements.”.NATO has mandated member countries spend a minimum 2% of GDP on defence. Canada’s GDP is $2.6 trillion. Defence spending totaled $23.6 billion last year, according to Public Accounts..Cabinet committed to cutting its deficit by $183.2 billion this year..“That will be in the budget,” Finance Minister Chrystia Freeland told reporters last December 14. Deficit forecasts from the Department of Finance included:.• $327.7 billion in 2021;• $144.5 billion in 2022;• $58.4 billion in 2023;• $43.9 billion in 2024;• $29.1 billion in 2025;• $22.7 billion in 2026;• $13.1 billion in 2027..“Really the intention here is a clear and transparent accounting of where the Canadian economy and Canadian finances are today,” Freeland said at the time..Forecasts of a dramatic decline in the deficit were based on projections that inflation would remain under 5% and income tax revenues would rise 6% “as the economy improves.”.“Fiscal prudence requires acknowledging there remains uncertainty ahead with factors like variants of concern and the persistence of global supply chain disruptions remaining uncertain,” Freeland wrote in a Fiscal Update last December 14..“The government remains committed to unwinding Covid-19 related deficits.”.Parliament has not balanced a budget since 2007.
