The provincial government released the 2020-2021 fiscal year first quarter budget update Thursday morning, along with a medium-term outlook.  

The deficit in the update was slightly smaller than the one projected with the budget that was released in June. The figures from the provincial government now forecast the deficit to be $2.1 billion, down from $2.4 billion. The forecast also calls for decreasing deficits for the next three years before a surplus of $125 million in 2024-25. 

The medium-term outlook also forecasts the province’s economy to shrink by 5.5 percent in 2020, slightly down from the 6.3 percent in the budget. The economy in 2021 is then expected to bounce back with 4.6 percent real GDP growth. 

“Saskatchewan’s fiscal foundation is solid and our province’s economy and economies around the world continue to re-open and recover,” Finance Minister Donna Harpauer said.  “We have seen positive signs in recent months but we are aware that certain sectors and industries continue to face significant challenges.” 

“It’s a sort of situation where the Sask Party is telling a tale on the eve of an election that they want Saskatchewan people to believe,” said Opposition NDP member Trent Wotherspoon. He said the opposition is calling for the legislature to be reconvened to allow for scrutiny of the multi-year numbers and the budget update. They are also looking to see legislation to be introduced for fiscal forecasts and four-year planning cycles to be included in the budget.