12.15°C Vancouver

Jul 8, 2020 7:34 PM -

Fiscal Snapshot: Federal deficit projected to be $343.2 billion in 2020-21

Share On
fiscal-snapshot-federal-deficit-projected-to-be-343-2-billion-in-2020-21
Minister of Finance Bill Morneau rises during a meeting of the Special Committee on the COVID-19 Pandemic in the House of Commons on Parliament Hill in Ottawa, on Wednesday, June 17, 2020. The federal Liberals will lay out today how they see the COVID-19 affecting federal finances for the fiscal year, detailing an estimated deficit and a projected path for the economy. THE CANADIAN PRESS/Justin Tang

The Liberals are projecting the deficit will soar to $343.2 billion in 2020-2021 due to pandemic relief programs.

That is a historic level and 43-billion-dollars beyond even the highest private sector predictions.

Finance Minister Bill Morneau says the government expects nearly two-million Canadians will remain out of work this year as the COVID-19 pandemic drags down the economy.

In the event of a second wave of infections, the government is forecasting a deeper and longer-lasting negative impact on the economy.


The COVID-19 fiscal snapshot: By the numbers


Estimated federal deficit for 2020-21: $343.2 billion

Direct federal aid to individuals and businesses as a result of COVID-19: $212 billion

Number of Canadians who were laid off or had their hours cut as a result of COVID-19 between February and April: 5.5 million

Number of Canadians who applied for the Canada Emergency Response Benefit: 8.16 million

Amount government paid out in Canada Emergency Response Benefit as of June 28: $53.53 billion

Number of students who applied for Canada Emergency Student Benefit: 601,356

Amount government paid out in Canada Emergency Student Benefit as of July 2: $1.42 billion

Number of Canadians whose jobs were supported by the Canada Emergency Wage Subsidy: 3 million

Expected unemployment rate by the end of 2020: 9.8 per cent

Expected unemployment rate in 2021: 7.8 per cent

29: Number of times the government uses the word "unprecedented" in its fiscal snapshot documents

Latest news

poilievre-says-conservatives-would-campaign-against-alberta-separation-referendum
CanadaMay 21, 2026

Poilievre says Conservatives would campaign against Alberta separation referendum

Conservative Leader Pierre Poilievre says he and all Conservative MPs would campaign to keep Alberta in Canada if a referendum on separation is held in the province. Poilievre said the party would take the same position in Quebec if a Parti Québécois government were elected and moved ahead with a sovereignty referendum there. The comments come as Alberta Premier Danielle Smith is expected to deliver a televised address later today. Her United Conservative government is considering whether to include a question related to Alberta’s future within Canada in a series of referendums planned for
alberta-premier-to-deliver-televised-address-amid-renewed-separation-referendum-debate
AlbertaMay 21, 2026

Alberta premier to deliver televised address amid renewed separation referendum debate

Alberta Premier Danielle Smith is scheduled to deliver a televised address Thursday evening amid renewed political debate over a possible referendum on Alberta’s future within Confederation. The address is set to air at 6:45 p.m. on CTV, Global and Rogers television networks and will also be livestreamed on the premier’s social media channels. The appearance follows controversy at a United Conservative Party caucus committee meeting Wednesday, where members debated a motion urging Smith to call an Oct. 19 referendum on Alberta’s place in Canada. The motion, introduced by UCP member Nate
alberta-premier-danielle-smith-announces-cabinet-shuffle-amid-referendum-process
AlbertaMay 21, 2026

Alberta Premier Danielle Smith announces cabinet shuffle amid referendum process

Alberta Premier Danielle Smith announced a cabinet shuffle Thursday, with several senior ministers receiving new portfolios as the provincial government continues work related to a proposed referendum process in the province. Lieutenant Governor Salma Lakhani administered the oath of office to the newly appointed ministers during a ceremony in Edmonton. Jason Nixon was appointed Alberta’s new finance minister, while Adriana LaGrange returned to the hospitals and surgical health services portfolio. Tara Sawyer was named minister of agriculture and irrigation. Nathan Neudorf was appointed mini
carney-eby-discuss-fast-tracking-major-projects-during-vancouver-meeting
CanadaMay 21, 2026

Carney, Eby discuss fast-tracking major projects during Vancouver meeting

Prime Minister Mark Carney and British Columbia Premier David Eby held a closed-door meeting in Vancouver on Wednesday, where both leaders discussed a new co-operation agreement aimed at accelerating development projects across the province. Following the meeting, Carney said closer collaboration between federal and provincial governments would help strengthen Canada’s economy and move major projects forward more quickly. He said governments can achieve more when they work together and added that economic growth remains a priority. Earlier in the day, the prime minister addressed a business
unions-raise-concerns-over-possible-changes-to-federal-labour-laws-in-canada
CanadaMay 21, 2026

Unions raise concerns over possible changes to federal labour laws in Canada

Several Canadian unions are raising concerns over potential changes to federal labour laws being considered by Prime Minister Mark Carney’s government, warning the move could limit workers’ right to strike. According to reports, the federal government circulated a discussion paper on April 17 seeking feedback from selected stakeholders, including representatives from the airline, port, railway, telecommunications and banking sectors. Union groups say they are concerned the government could expand the number of workplaces classified as “essential services,” a designation that can restri

Related News