The Manitoba government has taken steps to address the $1.6-billion deficit and is sharing a strategy to ensure all provincial expenditures are accounted for this fiscal year, Finance Minister Adrien Sala announced in a media release on Wednesday (Dec 13).
He said “We know the previous government failed to budget for their promises and left Manitobans with a $1.6-billion deficit. Our government has begun to rectify that with a strong plan to cover our expenses, cut spending on wasteful projects and design a path to balance. We are committed to reaching fiscal stability and we are scrutinizing promises made by the previous government to ensure they align with Manitobans’ priorities.”
Since taking office, the current provincial government has redirected funds from the Diagnostic and Surgical Recovery Task Force back to the front lines of Manitoba’s health-care system, noted the minister. The province announced 21 new beds at Grace Hospital this year.
The minister noted funds have been dedicated to address homelessness and provide temporary accommodations for new arrivals across Manitoba. The funds will be used to provide supports and housing through Manitoba Housing, private rentals, hotel rooms and shelters for at-risk populations across the province. The province will invest $41 million in health care and homelessness initiatives.
The gas tax holiday, which will save Manitobans 14 cents a litre at gas pumps across the province, will cost $82 million over six months beginning on Jan. 1, 2024. The minister noted the decrease in revenue will be offset by other spending reductions.
“In addition to reducing unnecessary spending, we’ve absorbed the work of the Economic Development Board back into the provincial department,” said Sala. “This allows for proper oversight of projects because we know the board was not using proper channels to have funding approved.”
More information is available in the Supplement to the 2023-24 Second Quarter Report at Province of Manitoba | Fiscal Updates (gov.mb.ca)
