Federal Deficit Could Grow to $117 Billion by 2025: Report

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CanadaPeople walk on Parliament Hill in Ottawa, in a file photo. The Canadian Press/Sean KilpatrickMatthew Horwood4/9/2026|Updated: 4/9/20260:00Canada’s current fiscal trajectory will lead the federal deficit to grow to $117 billion by 2035, according to a new report.While the federal government’s latest budget projects a deficit of just $57 billion by 2029, the report by public policy think tank MEI said that increasing elderly benefits, transfers to provinces, and military spending would put the figure much higher.

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