Arjun Pillai
Daily Herald
The Saskatchewan government ended the 2024–25 fiscal year with a $249 million deficit, less than the $273 million shortfall projected at the start of the year.
The province released its audited financial results Monday in Public Accounts Volume 1, revealing total revenue of $20.9 billion and total expenses of $21.1 billion. Revenues were up $994 million compared to the original budget, but expenses still exceeded projections by $970 million, largely due to a surge in spending in health, agriculture, environment, and natural resources. This included a one time receivable related to the resolution of tobacco litigation, which boosted government revenue.
Deputy Premier and Finance Minister Jim Reiter said the province continues to prioritize key areas that impact people’s lives, including education, health, infrastructure, and public safety, while maintaining a strong economic outlook.
“Saskatchewan’s economy continues to grow and evolve,” Reiter said in a statement. “Earlier this year, Statistics Canada confirmed that our province remains a national leader in economic growth, ranking us second in the country for real GDP growth in 2024.”
Saskatchewan’s economy has been driven by growth in agriculture, energy, and construction. Government officials say these sectors, combined with a growing population, have increased the demand for public services and infrastructure investments.
The province’s net debt rose by $1.3 billion, reaching $21.7 billion. However, officials say Saskatchewan’s finances remain strong because the province still has one of the lowest debt levels compared to the size of its economy, and holds the second-highest credit rating in Canada, based on ratings from Moody’s, S&P Global, and DBRS.
Despite the smaller-than-expected deficit, the Canadian Taxpayer’s Federation criticized the province for failing to stick to its budget. The group said nine out of eleven ministries went over their original plans.
“Taxpayers can’t afford a government that keeps breaking its spending promises,” said Gage Haubrich, Prairie Director for the CTF. “Finance Minister Jim Reiter needs to stop spending money as fast as it comes in and work to reduce the cost of government for taxpayers.”
The CTF has long called for governments to reduce deficits and avoid relying on borrowing. The group argues that interest payments on debt take money away from essential services like health care and education.
The group also stated the province overspent by $8.5 million under “general government” and raised concerns about debt servicing costs, which reached approximately $699 million in interest payments last year.
The full summary is available in Volume 1 of the 2024–25 Public Accounts at publications.saskatchewan.ca.
The next fiscal update is expected this fall, where the province may offer more details on how it plans to manage spending and long-term debt in the year ahead in its mid-year report.
