Canada records April-June budget surplus of C$10.2 billion on higher tax revenues

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FILE PHOTO: A Canadian dollar coin, commonly known as the "Loonie", is pictured in this illustration picture taken in Toronto

By Ismail Shakil

OTTAWA, Aug 26 (Reuters) – Canada recorded a C$10.20 billion ($7.89 billion) budget surplus for the first three months of the 2022/23 fiscal year helped by higher tax revenues, the finance ministry said on Friday.

By comparison, Canada posted a C$36.47 billion deficit in the period from April to June 2021.

Year-to-date revenues were up 20.9% on a broad-based improvement in income streams. Program expenses were 25% lower, largely reflecting lower transfers to individuals and businesses as COVID support wound down, the finance ministry said.

“As expected, the government’s 2022-23 financial results continue to improve compared to the peak of the COVID-19 crisis and the unprecedented level of temporary COVID-19 response measures at the time,” the ministry said in a statement.

On a monthly basis, Canada posted a surplus of C$4.88 billion in June, compared to the C$12.71 billion deficit recorded a year ago.

($1 = 1.2932 Canadian dollars)

(Reporting by Ismail Shakil, editing by Julie Gordon;