QUEBEC--The Quebec government confirms that it will balance its budget in 2013-2014, in an economic update released today.
As it specified in last fall's budget the government's deficit spending this year will be $1.5 billion.
The government forecasts that economic growth will continue in Quebec, by 1.3 per cent in 2013 and 1.8 per cent in 2014.
That is a downward adjustment of 0.2 per cent which Finance Minister Nicolas Marceau blames on a fragile global economy and budgetary and financial uncertainty in Europe and the U.S.
The government projected revenues have slipped since last fall's budget. The loss in revenue - blamed on a weaker economic outlook which means less tax revenue - means $250 million less in 2012-2013 and $565 million less in 2013-2014.
Marceau says these downfalls will be offset completely by lower debt service payments due to lower interest rates and an increase in equalization revenue and other measures.
I'm not worried, I think we are careful we are conservative in our estimates in our forecasts. That being said I hope it's going to improve," said Marceau. "My principal hopes are for the U.S, to start going more because our export sector depends very much on what's happening in the U.S."
In Question Period the Liberal party hammered the PQ, saying the Parti Quebecois government has managed to kill off private investment in Quebec.
