- Global economy is still growing but slowly. Concerned that recent turmoil in US and Europe will impact on Canadian trade and economy.
- Expects Q2 Canadian growth to be softer than anticipated
- In frequent contact with global counterparts and renews call for credible fiscal consolidation in countries with big deficits
- Fiscal results to date “broadly consistent” with 2011/12 projections as set out in the June budget, and expects to eliminate Canada’s budget deficit by 2014/15
- Problem in US and Europe is over spending and high deficits
- Does not plan to cut government spending dramatically
Basically does’nt intend to fall into the same trap as the US and Europe and intends to stick to the game plan outlined in the June budget, with balanced spending, but will adapt to any changes in the global outlook or any further growth deterioration.
