Dear John,

Combined federal and provincial government debt in Canada has nearly doubled from $1.21 trillion in 2007/08 (the year before the 2008 financial crisis) to a projected $2.30 trillion in 2025/26.

The latest Fraser Institute study specifically measures net debt, which is a measure of the total debt of the federal and provincial governments minus financial assets held by the governments. It is a common measure of indebtedness.

The study finds that not only has Canada’s projected combined government debt nearly doubled since 2007/08, but the combined debt now equals 74.8% of the Canadian economy (GDP). For perspective, debt represented 53.2% of GDP in 2007/08.

Newfoundland and Labrador has the highest provincial-only debt as a share of the economy (GDP), while Alberta’s remains the lowest in the country. 

See where the other provinces place here, and be sure to share this one on social media. 

Sincerely,

Niels Veldhuis
President
The Fraser Institute