The Manitoba government has recently released its 2024-25 second quarter report, while health-care costs are still significantly over budget, the report shows a growing economy and shrinking deficit.
“Our government is working across industries to grow the economy, increase productivity and attract more investments to our province,” said Finance Minister Adrien Sala and Health. “We are on the path to balancing the budget. The deficit is going in the right direction but we have more work to do. Manitobans can feel confident our government is preparing for potential economic pressures and will be ready to respond with a plan to protect jobs and our economy.”
The 2024-25 second quarter fiscal update projects a $662-million improvement to the deficit forecast relative to the 2023-24 public accounts, which now sits at $1.309 billion.
The 2024-25 second quarter economic update forecasts all key indicators improving relative to expectations at budget, with growing real GDP, higher average weekly earnings and lower inflation. On a year-over-year basis, the province has added over 21,000 new jobs, including nearly 15,000 in the private sector, and the update forecasts a higher employment growth and a lower unemployment rate.
Health authorities are projected to be $230 million over budget, driven by long-standing failures to deliver services within budget and focus resources on patient care, noted the minister.
“Better management means better patient care and every dollar we lose sight of is a dollar not spent at the bedside,” said Seniors and Long-Term Care Minister Uzoma Asagwara. “Unlike the previous government, which made across-the-board cuts, fired front-line staff and jeopardized patient care, our government is taking a different, fiscally responsible approach. I will always stand with patients and front-line health-care workers.”
The health minister shared steps the government has taken to support health authorities to redirect resources from the bureaucracy to the front lines including financial audits of budget practices.
The second quarter report for the 2024-25 fiscal year can be viewed online at gov.mb.ca.
