British Columbia trims 2015-16 budget surplus forecast

Tue Nov 24, 2015 2:32pm EST
Email This Article |
Share This Article
  • Facebook
  • LinkedIn
  • Twitter
| Print This Article
[-] Text [+]

VANCOUVER (Reuters) - British Columbia on Tuesday again revised its budget surplus for fiscal 2015-16, to C$265 million ($199.26 million), trimming C$12 million from a forecast it made in September.

Since its first-quarter forecast, provincial revenues have improved by C$4 million, primarily due to higher income tax revenues, Finance Minister Michael de Jong said.

But government spending is forecast to be $16 million higher than previously thought due to higher refundable tax credit transfers.

The Western Canadian province's real gross domestic product (GDP) is forecast to grow by 2 percent in 2015 and 2.4 percent in 2016, unchanged from its previous forecast.

British Columbia's economy has experienced steady growth so far in 2015 in some of its key sectors, including retail sales and housing. However, export growth has been modest.

"We're cautious because of the volatility we're seeing in domestic and global economies, but overall B.C. is showing steady economic growth," de Jong said in a statement.

(Reporting by Nicole Mordant in Vancouver; Editing by Chris Reese and Richard Chang)