HALIFAX -- Nova Scotia is forecasting a deficit of $778.8 million for the 2020-21 fiscal year.
That’s a change of $833.9 million from the $55-million surplus anticipated in February and a $74-million change from the July forecast.
Finance Minister Karen Casey presented the second update on the 2020-21 budget Thursday. She said the province’s economic position has improved since July, but the COVID-19 pandemic continues to have a significant impact on the fiscal forecast.
“Nova Scotia, like the rest of the world, is continuing to experience an unprecedented economic shock due to the COVID-19 pandemic,” said Casey in a news release.
“While we are pleased to see an improvement from the July forecast, government’s priority remains protecting Nova Scotians and controlling the spread through strong public health measures, while making investments to support economic recovery.”
Total revenue is projected to be $11.41 billion, down $186.6 million from the budget. Total overall expenses are projected at $12.32 billion, which is up $708.7 million.
Additional appropriations are required for 10 government departments for a total of $298.8 million, with the majority of expenses related to the COVID-19 pandemic.
The provincial government is also increasing its authority to borrow by an additional $1 billion, for a total of $2.75 billion, if required, to respond to the pandemic.
