Family services getting a boost
Stewart Burnett
Northern News Services
Monday, March 7, 2016
IQALUIT
Finance Minister Keith Peterson again stressed prudence in his budget address Feb. 25 in the legislative assembly.
The largest departmental increase in the new budget will be toward the Department of Children and Family Services, which will be boosted by 11 per cent, or $13.5 million.
"This will help the department to reform our approach to social assistance so we can make sure the people who get support truly need it," stated Peterson.
In a difficult economic environment, Nunavut saw 1.2 per cent inflation-adjusted growth over the last year.
"That's acceptable performance when one considers the broader picture in global commodity markets," Peterson stated.
"Metal and mineral prices fell more than 10 per cent last year according to the Bank of Canada. Since 2011, they have fallen almost one-third."
The growth forecast also assumes that Baffinland Iron Mines Corporation continues to ship from its Mary River mine and three large public sector construction projects remain on track for completion in the next year, those being the aquatic centre, Canadian High Arctic Research Station in Cambridge Bay and the Iqaluit airport.
"Last year, the number of jobs grew by about three per cent, with almost all those new jobs held by Inuit," stated Peterson. "We're going in the right direction. At the same time, we will need to grow the economy faster in order to provide jobs to young Nunavummiut who will soon leave school."
The territory projects revenues of $1.68 billion for the current year ending in March. The government expects revenues to rise to $1.73 billion next year. Only nine per cent of next year's revenue will be generated through taxes and other sources in Nunavut. Peterson said there are no new tax measures in the new budget.
The government projects to run a $3.9-million deficit, which Peterson called "very small."
"The more that we manage our funds prudently and the less that we draw on our contingency funds, the more likely we will be to show a small surplus at the end of the year," he stated.
For the 2015-16 fiscal year, though, Peterson said he expects to close the books with a surplus of $16.2 million.
