According to Canada Finance Department monitor publication, in February Canada recorded a surplus of 1.56 bln Can dollars compared to 1.49 bln in the same period a year ago mostly due to rise in personal and payroll tax revenue and a drop in debt-financing charges.
Revenue rose 2.4% to 23.42 bln Can dollars in February., while receipts from personal income taxes climbed 11.2% to 10.82 bln Can dollars, whith offset of 10.7% fall in corporate tax receipts. Payroll tax revenue rose 7.8%.
At the same time program spendings grew 3.1%, to 19.73 bln Can dollars, demonstrated a 6.7% rise in transfer payments to individuals and other levels of government.
Financing charges related to the public debt fell 5.5% to 2.14 bln Can dollars, which is considered to be a result of low levels of the interest rates.
Canadian budget deficit narrowed to 11.81 bln Can dollars from 12.63 bln Can dollars the same period but a year earlier. In the April-to-February period, revenue grew 2.3% to total of 230.25 bln Can dollars, while spending on government programs advanced 2.9% to 215.4 bln Can dollars.
Canada Finance Department expects 25.9 bln Can dollars of budget deficit for fiscal 2013, which ended March 31.