mackaycartoons

Graeme MacKay's Editorial Cartoon Archive

  • Archives
  • DOWNLOADS
  • Kings & Queens
  • MacKaycartoons Inc.
  • Prime Ministers
  • Special Features
  • The Boutique
  • Who?
  • Young Doug Ford
  • Presidents

Friday February 26, 2016

February 25, 2016 by Graeme MacKay

Editorial Cartoon by Graeme MacKay, The Hamilton Spectator - Friday February 26, 2016 OntarioÕs budget deficit for 2016 shrinks  Ontario Finance Minister Charles Sousa announced Thursday that the provinceÕs budget deficit has shrunk more than expected and that the Liberals are on pace to return to a balanced budget by 2017-18, even as net debt is set to increase in that timeframe. Sousa said that the deficit is now down from the $7.5 billion projected at the end of last year to $5.7 billion, as stronger economic growth in Ontario boosted government revenues. The budget forecasts that OntarioÕs economy grew 2.5 per cent in 2015, a much stronger level than the 1.2 per cent forecast for the national economy. But net debt will go up as the government continues to borrow to fund projects, including a massive $160 billion infrastructure project over the next 12 years. Net debt is set to increase to $326.8 billion in 2018-19, from $296.1 billion in 2015-16, even as the Liberals are set to have a balanced budget by then. The projection that OntarioÕs debt will continue to rise and that debt-to-GDP will continue to hover near 40 per cent in the medium-term will not thrill debt rating agencies. Standard & PoorÕs downgraded the provinceÕs debt last year, while others such as MoodyÕs Investors Service have placed a negative outlook on provincial bonds. OntarioÕs deficit will also be helped by $1.1 billion gained from the sale of Hydro One, as well as growing cash injections from the federal government, which will hit $24.6-billion this year and rise to $26.6-billion by 2018. Sousa dismissed the idea of further debt downgrades, however, saying a declining debt-to-GDP ratio would be welcomed. ÒI believe credit agencies are going to look at this budget and realize that weÕre achieving what we said weÕre going to do,Ó he said during a news conference. The government has said it has a target of reducing net debt-to-GDP to its pre-recession level of 27 per cent, though it ge

Editorial Cartoon by Graeme MacKay, The Hamilton Spectator – Friday February 26, 2016

Ontario’s budget deficit for 2016 shrinks

Ontario Finance Minister Charles Sousa announced Thursday that the province’s budget deficit has shrunk more than expected and that the Liberals are on pace to return to a balanced budget by 2017-18, even as net debt is set to increase in that timeframe.

Sousa said that the deficit is now down from the $7.5 billion projected at the end of last year to $5.7 billion, as stronger economic growth in Ontario boosted government revenues. The budget forecasts that Ontario’s economy grew 2.5 per cent in 2015, a much stronger level than the 1.2 per cent forecast for the national economy.

But net debt will go up as the government continues to borrow to fund projects, including a massive $160 billion infrastructure project over the next 12 years. Net debt is set to increase to $326.8 billion in 2018-19, from $296.1 billion in 2015-16, even as the Liberals are set to have a balanced budget by then.

The projection that Ontario’s debt will continue to rise and that debt-to-GDP will continue to hover near 40 per cent in the medium-term will not thrill debt rating agencies. Standard & Poor’s downgraded the province’s debt last year, while others such as Moody’s Investors Service have placed a negative outlook on provincial bonds.

Ontario’s deficit will also be helped by $1.1 billion gained from the sale of Hydro One, as well as growing cash injections from the federal government, which will hit $24.6-billion this year and rise to $26.6-billion by 2018.

Sousa dismissed the idea of further debt downgrades, however, saying a declining debt-to-GDP ratio would be welcomed.

“I believe credit agencies are going to look at this budget and realize that we’re achieving what we said we’re going to do,” he said during a news conference.

The government has said it has a target of reducing net debt-to-GDP to its pre-recession level of 27 per cent, though it gets no where close to that level in its projected forecast, with net debt-to-GDP hitting 38.5 in 2018-2019. The ratio is expected to peak at 39.6 per cent in 2015-16, remain level in 2016-17 and only begin to decline in 2017-18.

The government is projecting that total revenue in 2015-16 will be $2.2 billion higher than the 2015 budget had factored in, due to “higher asset optimization” and more tax revenue as a result of a stronger Ontario economy. (Source: Financial Post)

 

Posted in: Ontario Tagged: Budget, Charles Sousa, Deficit, Kathleen Wynne, Ontario, rainbow, Sunny ways, unicorn
← Thursday February 25, 2016
Saturday February 27, 2016 →

Please note…

This website contains satirical commentaries of current events going back several decades. Some readers may not share this sense of humour nor the opinions expressed by the artist. To understand editorial cartoons it is important to understand their effectiveness as a counterweight to power. It is presumed readers approach satire with a broad minded foundation and healthy knowledge of objective facts of the subjects depicted.

  • The Hamilton Spectator
  • The Toronto Star
  • The Globe & Mail
  • The National Post
  • Graeme on T̶w̶i̶t̶t̶e̶r̶ ̶(̶X̶)̶
  • Graeme on F̶a̶c̶e̶b̶o̶o̶k̶
  • Graeme on T̶h̶r̶e̶a̶d̶s̶
  • Graeme on Instagram
  • Graeme on Substack
  • Graeme on Bluesky
  • Graeme on Pinterest
  • Graeme on YouTube
New and updated for 2025
  • HOME
  • MacKaycartoons Inc.
  • The Boutique
  • The Hamilton Spectator
  • The Association of Canadian Cartoonists
  • The Association of American Editorial Cartoonists
  • You Might be From Hamilton if…
  • Young Doug Ford
  • MacKay’s Most Viral Cartoon
  • Intellectual Property Thief Donkeys
  • Wes Tyrell
  • Martin Rowson
  • Guy Bado’s Blog
  • National Newswatch
...Check it out and please subscribe!

Your one-stop-MacKay-shop…

T-shirts, hoodies, clocks, duvet covers, mugs, stickers, notebooks, smart phone cases and scarfs

2023 Coronation Design

Brand New Designs!

Follow Graeme's board My Own Cartoon Favourites on Pinterest.

MacKay’s Virtual Gallery

Archives

Copyright © 2016 mackaycartoons.net

Powered by Wordpess and Alpha.

Social media & sharing icons powered by UltimatelySocial
 

Loading Comments...