By Paul Vieira
OTTAWA--The leader of Canada's Conservative Party says he's willing to give up some of the party's allotted time in the legislature Monday to allow Finance Minister Chrystia Freeland to present a fall economic update.
Freeland evaded questions Tuesday about when she would present the fall economic statement, which is an annual event that provides an update on public finances amid changes in the global economy and new government spending measures. Also, she has yet to issue the final numbers for the 2023-24 fiscal year. Freeland had promised the deficit wouldn't exceed 40 billion Canadian dollars, or the equivalent of $28.4 billion.
Pierre Poilievre, who is in line to be Canada's next prime minister based on public-opinion polls, said Wednesday he is willing to offer two hours of the Conservative Party's time slot during parliamentary debate Monday to allow Freeland time to update lawmakers and Canadians about the state of public finances. Freeland has said that a Conservative-led filibuster in the legislature, related to a conflict-of-interest scandal, is thwarting efforts to present the fiscal statement. Economists await the results of the fall report so they can revise their outlooks for public finances and advise clients on the scope of government-debt issuance in the coming 12 months.
"Why won't the finance minister tell us the true number? What's she hiding?" Poilievre told reporters ahead of the party's weekly caucus meeting. He also alleged that Freeland and Prime Minister Justin Trudeau have lost control over fiscal policy, and broken their promise on limiting the deficit to C$40 billion.
A spokeswoman for Freeland described Poilievre's offer as "ridiculous," adding: "If they want to be serious about supporting Canadians, they can open parliament for business." Generally, the fall statement is presented before December, although there are exceptions, such as during the pandemic, and in 2015 when there was a fall election.
Economists believe recent economic developments and policy decisions, among them a C$6 billion mini stimulus package, likely means deficits will be larger than the promised C$40 billion threshold.
"The government is not on track to meet its near-term fiscal guard rails owing to cost overruns despite economic growth above expectation," said Rebekah Young, an economist at Bank of Nova Scotia, in a report Wednesday. "This suggests revenue-raising measures are likely needed -- and fast."
Write to Paul Vieira at paul.vieira@wsj.com
(END) Dow Jones Newswires
12-04-24 1451ET
