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Canada’s fiscal health is deteriorating, with the PBO warning of instability ahead of the upcoming budget.
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.
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.
Though international comparisons remain relevant, the focus is on Canada’s overall fiscal health.
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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La salud fiscal de Canadá se está deteriorando, con el PBO advirtiendo de inestabilidad antes del próximo presupuesto.