Higher potash revenues help Sask. reduce deficit, year-end financial results show

The province says its 2018-19 fiscal year ended with a lower deficit than expected, due in part to higher potash revenues.

Saskatchewan finished the 2018-19 fiscal year with a deficit of $268 million — $97 million lower than budgeted, the Ministry of Finance said in releasing its year-end financial results on Thursday.

"Our year-end actuals show that Saskatchewan's fiscal position and financial outlook continue to improve," Finance Minister Donna Harpauer said in a news release. 

"Our government's plan to return the province to balance remains on track."

The $268-million deficit is $112 million lower than had been forecast at third quarter, and $35 million less than 2017-18.

Harpauer credits high, non-renewable resource revenue, notably potash, for the improvement.

In fiscal 2018-19, non-renewable resource revenue was up $253 million, or more than 17 per cent, compared with the budget projection. Potash revenue was $536 million in 2018-19, up $228 million or 74 per cent.

Other 2018-19 year-end notes:

• Revenue - $14.45 billion, up $206 million from budget.
• Expense -  $14.72 billion, up $108 million.

Trade with China an issue: Harpauer

The finance minister says the continuing trade problems with China and, to a lesser extent, the United States could affect the 2019-20 budget.

"My concerns right now going forward is, of course, the trade issues that we're all well aware of because that will impact the budget," Harpauer said.

"I'm thrilled as everyone else is to see the rain because agriculture is a huge part of our budget."

NDP criticizes rising debt, costs of P3 projects

NDP opposition finance critic Trent Wotherspoon said he was critical of Harapuer's response to trade issues when he raised them with her in a meeting this spring.

"The finance minister was belligerent and bewildered when I had a focused line of questions with her during the important finance estimates talking about the very real trade challenges that we're facing," he said.

Wotherspoon also said the "skyrocketing" debt and "alarming costs to P3 obligations are also a concern.

"They properly projected that they were going to put the debt at a record level and that it was going to triple over an eight-year period," he said.