Key facts
- Government revenues grew 7.1% in the first five months of fiscal 2026/27.
- Program expenses rose 4.7% over the same period.
- Public debt increased by 9.1% due to higher interest rates.
- The monthly deficit in September 2026 was C$233 million.
Canada's budget deficit for the first five months of the 2026/27 fiscal year was C$5.36 billion, a significant decrease from C$11.07 billion in the same period a year earlier, according to the finance ministry. Government revenues saw a 7.1% increase, largely due to higher personal and GST revenues, while program expenses grew by 4.7%. Public debt increased by 9.1%, attributed to higher average interest rates on marketable bonds. The monthly deficit in September 2026 was C$233 million, down from C$3.28 billion in August 2025.