Budget 2024: A Responsible Plan for a Growing Province
Albertans are likely to face headwinds this year as the broader economy is expected to slow slightly, experts predict another summer of worsening drought and wildfires, and debt servicing/debt refinancing costs increase significantly due to the current high interest rate environment. If Budget 2023 was a pre-election budget intended to keep Danielle Smith in the premier’s chair, Budget 2024 is a governing budget, leaning into themes of responsible spending and saving.
Budget 2024 prepares for these challenges while maintaining economic growth and labour attraction policies and safeguarding spending so Albertans continue to receive the high levels of service they are accustomed to.
Premier Smith’s vision for a reinvigorated Alberta Heritage Trust Fund remains a top priority for the year and likely for her mandate, having previewed the budget as Alberta’s last shot at getting off the resource revenue rollercoaster and saving for the future. The government is retaining more than $1 billion in investment earnings from the previous year and will deposit another $2 billion increasing the value of the fund to $25 billion.
This is a potentially fraught year to chart a new course and, to succeed, the Finance Minister and Premier will need to resist the temptations of stimulus spending and hold firm to the plan, more details of which are promised later in the year.
You can find our analysis of the budget below. For more analysis, or support engaging government on any of the budget announcements, contact your Navigator team or reach out at info@navltd.com.
