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Manitoba’s deficit doubled to $1.6 billion due to wildfires and hydro losses, despite tax hikes and promises to balance the budget by 2027.
Manitoba’s projected deficit has surged to $1.6 billion for the current fiscal year, more than double the $794 million forecast in the spring budget, according to a December 15, 2025, fiscal update.
The sharp increase is primarily due to an unprecedented wildfire season caused by extreme dry weather, which led to widespread evacuations and over $370 million in emergency response costs.
The crisis also severely impacted Manitoba Hydro, reducing its revenues by $684 million as low water levels hampered power generation.
Despite a 19.5% rise in property taxes—the highest provincial increase in Canada—and a provincial inflation rate of 3.3%, the highest among Canadian provinces, the NDP government reaffirmed its commitment to balance the budget before the October 2027 election without cutting services.
The opposition Progressive Conservatives criticized the government for consistently missing fiscal targets and questioned its long-term strategy.
El déficit de Manitoba se duplicó a 1.600 millones de dólares debido a los incendios forestales y las pérdidas hidroeléctricas, a pesar de los aumentos de impuestos y las promesas de equilibrar el presupuesto para 2027.