Federal deficit reaches $25.5B in first 11 months of 2025–26 fiscal year

The federal government recorded a budgetary deficit of $25.5 billion for the April to February period of its 2025–26 fiscal year, according to the latest monthly fiscal monitor from the Department of Finance.

The result compares with a deficit of $19.3 billion reported during the same 11-month period in 2024–25, indicating a year-over-year increase in the shortfall.

According to the Finance Department report, total revenues reached $453.2 billion, up 0.8 per cent from $449.8 billion a year earlier. Program expenses, excluding net actuarial losses, rose to $424.9 billion, a 2.1 per cent increase compared with $416.1 billion in the previous year.

Public debt charges totalled $49.3 billion, remaining roughly in line with the same period last year. Net actuarial losses were reported at $4.6 billion, compared with $3.7 billion in 2024–25.

The federal fiscal update provides a snapshot of government finances ahead of the final year-end results, which are expected after the close of the fiscal year on March 31.