Toward Sustainable, Transparent Finances
Province Releases First Quarter Fiscal Report
Today, the Government of Ontario delivered on its commitment of accountability and transparency to the taxpayers with the release of the province's first quarter finances.
"The results demonstrate that the government's plan to restore the province's finances while investing in education and healthcare is working," said Finance Minister Rod Phillips.
The report provides information about Ontario's 2019-20 fiscal outlook as of June 30, 2019. It is the first fiscal update since the 2019 Budget and the first under new legislation, the Fiscal Sustainability, Transparency and Accountability Act, 2019 (FSTAA). This Act was created to put sustainability at the centre of Ontario's fiscal planning, enhance transparency and public reporting requirements, and include provisions that bolster oversight and compliance.
While working towards fiscal sustainability, the government recognizes the need to remain focused and work with its partners through a time of global uncertainty to ensure the best outcomes for the people of Ontario.
Key updates since the 2019 Budget include:
- A deficit projection of $10.3 billion in 2019-20, unchanged from the 2019 Budgetprojection.
- Ontario's credit ratings confirmed by three credit rating agencies (Moody's, DBRS Limited and Fitch), and Fitch also improved the outlook on the Province's rating to Stable from Negative.
- Program expense is projected to increase by $182 million, underlining the government's commitment to invest in front-line services, such as health care and education.
- Interest on debt expense is projected to be $220 million lower in 2019-20 than forecasted in the 2019 Budget. Every dollar saved on servicing the debt is one more dollar that can go to ensuring the sustainability of services that the people of Ontario rely on.
"Our Government is committed to making smart investments in healthcare and education, and ensuring tax dollars are spent responsibly," Phillips said. "Our Plan is getting Ontario back on track to a balanced budget through a combination of responsible fiscal management and strategic investments in critical public services, while strengthening a climate for job creation."
The next fiscal update will be the Ontario Economic Outlook and Fiscal Review on or before November 15, 2019, which represents a mid-year update on the fiscal plan.