Projected deficit of $ 15 billion in 2020-2021 and $ 8 billion next year
Minister of Finance Eric Girard
Share November 12, 2020 2:19 p.m. Share Projected deficit of $ 15 billion in 2020-2021 and $ 8 billion next year Jocelyne Richer La Presse Canadienne For eight months, the COVID-19 virus has contaminated Quebec's public finances, which will take several years to recover.
In his economic update, presented Thursday, the Minister of Finance, Eric Girard, confirmed that the deficit would reach $ 15 billion this year, a historic high, which will be followed by an anticipated deficit of $ 8.3 billion in 2021 -2022, then $ 7 billion the following year.
From 2020 to 2023, that gives a total of $ 30 billion written in red ink in the Quebec budget.
The 250-page document released to the media on Thursday does not clearly address the deadline for returning to balanced budgets. In June, it was not planned until 2025-2026. Minister Girard says he prefers to wait for the tabling of his next budget, in March 2021, to take stock of the return to zero deficit.
Time and time again, the government has pledged not to raise taxes, despite the difficult context caused by the pandemic. Thursday's mini-budget does not include any increase in the tax burden on Quebeckers.
Within three years, the government plans to inject $ 1.8 billion in various measures to support various programs and intended to ensure economic recovery.
Of the total, note the sum of $ 477 million paid over the next three years to stimulate economic growth.
Programs to reintegrate Quebecers into the labor market will require $ 459 million by 2023.
We also reserve $ 300 million, from 2021 to 2023, for “green recovery”.
Among the new initiatives, we should also note that $ 60 million has been set aside for the tourism sector, particularly to support tourist accommodation starting this year.
Quebec calculates that since the start of the pandemic in March, the government has had to invest $ 13 billion to minimize the impact of the health crisis, both on the health network and the economy.
Several measures included in this mini-budget had in fact already been announced by the government in recent months, including the sum of $ 100 million for mental health programs.
Quebec's GDP will contract by 6% in 2020.