Phil Tank: Dark fiscal clouds form at terrible time for Sask. Party

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Phil Tank: Dark fiscal clouds form at terrible time for Sask. Party
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A decline in resource revenues worth half a billion dollars damages the competency of the Saskatchewan government\u0027s budget forecast.

That’s especially true since we heard from Finance Minister Donna Harpauer during the resource boom thatdespite the windfall and that the province could not become too dependent on resources to fund its budget.

The mammoth decrease in resource revenue will be offset by a $405.2-million increase in other revenues, the largest portion of which is a $149.7-million jump in provincial sales tax revenue. After Saskatchewan led the nation last year with a whopping 5.7 per cent growth rate in economic output measured by gross domestic product, aggregate private sector forecasts are now suggesting a rate of less than two per cent this year and closer to one per cent next year.

Plus, Saskatchewan’s GDP has still not quite returned to the $82-billion level of 2019, prior to the pandemic, meaning we have more of a recovering economy than one soaring to new heights.

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