What you need to know about federal budget 2019
The Liberal government unveiled its latest federal budget on Tuesday, offering incentives to seniors, new homeowners, electric vehicle users and more. But what did analysts have to say about it?
Read on for a collection of commentary on BNN Bloomberg from analysts, economists and policy-watchers:
“I’d like to see a little more fiscal discipline. Lots of individual, what we might call, Christmas tree baubles. There’s something for you and there’s something for me and there’s something for the guy behind the tree in this budget. That’s what you’d expect in an election year but some of them are pretty big numbers.”
- John Manley, former federal finance minister and honorary chair of the Canadian Council for Public-Private Partnerships
“It was a bit of a band-aid to deal with what could have been seen by some as an overreach with the change in mortgage rules. We all understand why that was done, but I think it was done for very specific small markets and it’s impacted the rest of the country … it’s a tough issue, but I do understand why, politically, the government has to address this. This is not just an affordability crisis but it’s a supply crisis in large cities. That’s where the jobs are and that’s where young people want to live."
- Rona Ambrose, global fellow, Wilson Center Canada Institute
“This document is definitely a 90-degree turn ... There are so many different priorities here. It is quite a different animal than what we saw in the Fall Economic Statement. I would not call it a competitiveness budget.”
- Doug Porter, chief economist, BMO Financial Group
“This, in my mind, is evidence of a structural deficit and it seems to me that Mr. Morneau, in the days ahead as he tries to sell his budget, both to Main Street and to Bay Street, is going to have to explain why the deficit is moving up instead of down.”
- Sean Speer, Munk Senior Fellow for fiscal policy, Macdonald-Laurier Institute
“They surveyed the CEOs of the Business Council of Canada and the confidence level, in terms of the future, was the lowest it’s been since they started the survey 15 years ago. I know economists don’t like talking about feelings, but to me that’s a bad sign: When you’re starting to feel that things could be getting stormy and there’s no money under the mattress.”
- Nicole Verkindt, CEO, OMX
“It doesn’t sound like much that’s in the budget today is geared towards improving Canada over the long-term. More short-term items that help specific groups in the next year to two years, but it seems like the general tone … was really hoping for things that affect our long-term potential: Infrastructure, competitiveness abilities, ways to reduce the housing market bubble and have some sustainable finances over time. That’s the missing theme here today.”
- Frances Donald, Head of Macroeconomic Strategy, Manulife Asset Management