Ottawa Ontario Canada Sunset

The federal government ended the 2022-23 fiscal year with a $41.3 billion deficit, slightly lower than it had forecast in its budget released in March.

The Finance Department says the result compares to a $95.6 billion deficit the previous fiscal year.

Compared to 2021-22, revenues were up $34.2 billion, or 8.6%, due to improved economic growth and the fading effect of the Covid-19 pandemic.

Program expenses were down $29.9 billion, or 6.5%, as the federal government wound down Covid-19 support programs.

Higher interest rates have pushed up public debt charges by $10.4 billion, or 42.0% since the previous year.

Meanwhile, net actuarial losses decreased by $0.5 billion, or 5.0%.