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flag Canada’s fiscal health is deteriorating, with the PBO warning of instability ahead of the upcoming budget.

flag The Parliamentary Budget Officer has warned Canada is "at the precipice" of fiscal instability ahead of the upcoming federal budget, citing growing concerns over the nation's financial trajectory. flag While Canada once had the lowest debt-to-GDP ratio among G7 nations—a key measure of fiscal responsibility—the interim PBO noted its deterioration raises sustainability questions. flag Though international comparisons remain relevant, the focus is on Canada’s overall fiscal health. flag The warning underscores mounting unease about the long-term viability of current spending and debt levels as the government prepares its next budget.

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