Alberta set for $5.5B budget surplus, despite big bucks for fires, floods and drought

Alberta’s budget surplus is growing but will be offset by more than $1 billion this year to pay for floods, forest fires and drought.

Alberta's budget surplus is growing, but will be offset by more than $1 billion this year to pay for floods, forest fires and drought.

Finance Minister Nate Horner says the province is on track to record a $5.5-billion surplus when the 2023-24 budget year ends in March.

That is a $3.2-billion increase from the surplus predicted when the budget was introduced in February.

The extra money is due mainly to oilsands royalties and higher personal and corporate income taxes, bringing the total estimated government revenue to $74.3 billion, set against $68.8 billion in spending.

“Alberta's economy is resilient, and our finances are on track,” Horner told reporters Thursday as he delivered the second-quarter budget update.

“Our energy sector continues to be a driver of jobs and activity, and at the same time we're seeing growth and diversification in emerging sectors like tech and aviation.”

He added: “We're aware of the many challenges the current global economy presents. Rising costs, higher interest rates and general economic uncertainty are weighing on businesses and consumers.