Alberta on track for $13.2 billion surplus, Kenny said ahead of accounting update

Alberta Prime Minister Jason Kenny said the state upon tracking for We have a budget surplus of $13.2 billion this year.

This is an exponential increase from the projected surplus of $511 million when the state budget was introduced in February.

“Of course, a lot of that is due to growth in commodity prices and royalty income. upon government visit to South Korea, said in a video posted on Tuesday upon twitter.

“But basically we didn’t have a balanced budget. uponThis year’s book was not for Take control of your spending and enable broader growth in Alberta’s economy. ”

The state is riding another wave of economic prosperity due to soaring oil and gas prices and royalty payments from mature oil sands projects.

Finance Minister Jason Nixon is expected to announce details on Wednesday. upon state finances for First three months of this fiscal year.

Kenny said the windfall will allow states to re-index non-refundable income tax brackets and tax bracket thresholds to inflation starting this year.

He said that means the average Albertan would have a profit of $300 and a cost of $300 million to the national coffers.

The Kenny administration was heavily criticized for In 2019, it removed the bracket index after promising no more taxes to Albertans.

The move effectively cost Albertans $647 million more in taxes from 2020 to 2022, according to a recent study by the University of Calgary School of Public Policy.

“We didn’t want to remove the system’s index in the first place,” Kenny said in a video statement.

“But we had to put the state’s finances in order and do so without disrupting medical care.”

Alberta’s economy has weathered capricious highs and lows in oil prices forPrices bottomed out during the COVID-19 pandemic.

With prices rebounding, the state budgeted for $511 million in surplus dependents this year. upon The benchmark West Texas Intermediate oil price averages 70 barrels.

West Texas is much higher, averaging over US$100 a barrel for the first six months of the year and now in the mid-$80s.

Last year’s budget, drawn up during the economic downturn of the COVID-19 pandemic, predicted a deficit of $18 billion, but ended up with a surplus of about $4 billion.

canadian press