Federal government posts $1.9-billion surplus

The federal government posted a surprise $1.9-billion surplus in 2014-2015, which brings the country’s books back into balance a year earlier than expected.

The Finance Department released the year-end figures Monday, for a period the government had predicted to instead generate a $2-billion shortfall. The surplus ends a streak of six deficits under the Conservatives—and its impact may reverberate on the campaign trail.

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Currently, political leaders are trying to portray themselves as the best stewards of the public piggy bank. But previously, Conservative Leader Stephen Harper had forecasted a $2-billion deficit for 2014-2015 in its April budget.

At that time, the Tories also predicted a $1.4-billion surplus for the current 2015-2016 fiscal year.

Still, Harper’s political rivals have charged that Ottawa is on track to run another shortfall in 2015-2016, given the economy has slipped into a recession.

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Last month, the Finance Department reported a $5-billion surplus for the April-June quarter. But Harper’s opponents have dismissed it as preliminary data—government officials routinely warn that a few months of information don’t necessarily paint the picture for the whole year.

The current 2014-2015 surplus follows the $5.2-billion deficit posted by Ottawa in 2013-2014.

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