News Release Archive
PREMIER--NOVA SCOTIA WILL LIVE WITHIN ITS MEANS
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Nova Scotia will have a fully balanced budget in 1996-97
- the first in 25 years - Premier John Savage said today,
and he pledged that "as long as I am premier, we will
continue to live within our means."
At a Province House news conference, Premier Savage and
Finance Minister Bernie Boudreau declared Nova Scotia's
four-year expenditure control program a success, after just
two years. However, both warned that difficult decisions
will still be required to maintain and build on the
province's fiscal and economic gains.
"Fiscal recovery, and the social and economic benefits
recovery will bring, required some very difficult decisions.
And make no mistake, more tough choices will be needed to
maintain stability and build security," the premier said.
Mr. Boudreau added that the four-year expenditure control
plan was designed to bring the spending of the province in
line with its income. With a fully balanced budget in
1996-97, that goal will be accomplished. Next week, the
minister will release a white paper proposing a new plan for
Nova Scotia's long-term financial security.
The financial progress report, released today, shows a $37.3
million surplus in the province's operating account for
fiscal 1995-96. That is a $65.5 million improvement over the
$28 million deficit estimated in last spring's budget.
However, the government will still record a $151 million
budgetary deficit this year, when capital costs are taking
into account. In 1992-93 the budgetary deficit was $617
million.
Premier Savage said the tough choices his government made
were the right choices for the province's economy and for
the future of public programs and services.
"They were the right decisions for Nova Scotians looking for
work and the right decisions for Nova Scotians looking for
hope. Our economic future depends on our competitive
advantages, and only a financially secure Nova Scotia can
offer those advantages," the premier said.
Premier Savage pointed to the fact that 30,000 more Nova
Scotians are working today than when his government came to
office as evidence that the fiscal and economic plans are
working.
The tough financial decisions secured the future of vital
government services in health care, education and social
services, the premier said.
"And, the decisions we made are right for young Nova
Scotians whose future must be built on a solid foundation,
not buried by a mountain of debt."
The premier said Nova Scotia "still carries the burden for a
generation of irresponsible government spending. That burden
is a $9 billion debt and the ($1 billion) annual payments on
that debt." The white paper Mr. Boudreau will release next
week will address those problems.
Mr. Boudreau said the white paper will set new goals for the
province.
"Now we must ensure that no government ever takes this
province back to the brink of ruin. Now we must take aim at
the debt, and begin to recover the billion dollars a year we
lose to debt payments. And now we must improve and expand
services responsibly, as we can afford them," said the
minister.
"It's important to understand that our fiscal plans are
always designed in support of our social and economic goals.
Imagine what Nova Scotia can do in health care, in
education, in all areas of our social responsibility, as we
recover more and more of that $1 billion we now lose to debt
payments. Imagine how our economic prospects will improve as
our competitive advantages expand."
The white paper, entitled Shaping the Future, will be
released by the finance minister Wednesday, Feb. 7.
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Contact: Jim Vibert 902-424-4886
trp Jan. 29, 1996 - 1:05 p.m.