Parliament's budget watchdog says it's likely the federal deficit for the year will hit $252.1 billion as a result of the COVID-19 pandemic — and could go even higher if emergency measures remain in place longer than planned. Parliamentary budget officer Yves Giroux's report assumes real GDP will contract by 12 per cent this year and help push the federal debt-to-GDP ratio to 48.4 per cent. Once the budgetary measures expire and the economy recovers, the federal debt-to-GDP ratio should stabilize," Giroux says in a statement. So far, more than seven million people have received federal emergency aid through the Canada Emergency Response Benefit, which has paid out more than $25.6 billion in benefits, based on the latest federal figures. Giroux also estimates the wage subsidy program will cost $76 billion, slightly more than the $73 billion price tag the Liberals have put on the measure.

Source: CBC News April 30, 2020 14:21 UTC