Quebec introduces record $13.6 billion deficit budget amidst U.S. trade tensions

Quebec Finance Minister Eric Girard unveiled a budget featuring a record deficit of $13.6 billion, driven by anticipated U.S. tariffs on Canadian goods averaging 10% over the next two years. The budget allocates $5.4 billion over five years to stimulate the economy, with an additional $11 billion earmarked for infrastructure projects aimed at preserving jobs and fostering economic growth. GDP growth has been revised down to 1.1% due to the trade war, which is expected to reduce the province's economic growth by 0.7 percentage points this year. Girard expressed confidence in managing the province's finances amid these challenges, aiming for a balanced budget by fiscal year 2029-30. The budget, titled “For a Strong Quebec,” reflects a strategic focus on supporting businesses and workers during this period of uncertainty. Premier François Legault emphasized the importance of investing in essential services while navigating the economic turmoil.