COVID-19: Historic deficit for the Canadian general government
In 2020, the consolidated Canadian general government (CGG), which includes all federal, provincial, territorial and local governments, posted a historic deficit in the order of $325.5 billion. Increased expenses (+30.7%), particularly in health care and social protection, and, to a lesser extent, decreased revenues (-1.9%) related to the COVID-19 pandemic, simultaneously worsened the deficit. By comparison, the deficit was $40.7 billion in 2019, whereas the consolidated government finances were balanced in 2018. As a percentage of nominal gross domestic product (GDP), the deficit amounted to 14.8% in 2020, compared with 1.8% in 2019.
The federal government accounted for the majority ($274.4 billion) of the CGG deficit in 2020, while the consolidated provincial, territorial and local governments (PTLGs) recorded a deficit of $51.2 billion. Compared with 2019, the federal government deficit increased almost twelvefold (+1,095.8%), while the deficit of the PTLGs nearly tripled (+188.8%).
Impacts of COVID-19 pandemic on the 2020 reference year
The 2020 reference year corresponds to the fiscal year ending March 31, 2021, for the federal, provincial and territorial governments. The current estimates include most support measures for businesses, such as the Canada Emergency Wage Subsidy (CEWS), and those for individuals, such as the Canada Emergency Response Benefit (CERB).
However, some governments have not finished tabulating their program expenditures and published their public accounts. Although these measures were taken into account in this release, revisions are to be expected when the final data become available.
Contact information
For more information, or to enquire about the concepts, methods or data quality of this release, contact us (toll-free 1-800-263-1136; 514-283-8300; STATCAN.infostats-infostats.STATCAN@canada.ca) or Media Relations (613-951-4636; STATCAN.mediahotline-ligneinfomedias.STATCAN@canada.ca).