The federal government is forecasting a deficit of $34.6 billion dollars for the 2022-23 fiscal year—-well below the $52.8 billion projected in the April budget. There is also a prediction of a balanced budget by 2027-28 in Thursday’s economic statement.

Deputy Prime Minister Chrystia Freeland promised to permanently eliminate student loan interest and announced an investment tax credit of up to 30 per cent for clean energy technologies, including small modular reactors, and the federal government has also indicated it will consult on additional technologies, including large-scale nuclear. Freeland believes clean energy technologies are the way forward for a more sustainable, prosperous economy. She says, “If you are an energy worker in Alberta, investments in clean energy mean there will continue to be good paying jobs for you and your children.”

The Canadian Nuclear Association considers the inclusion of nuclear in the investment tax credit a major step forward for the industry. President and CEO of the CNA, John Gorman, believes it confirms that nuclear is clean energy and must be a key part of Canada’s strategy to maintain energy security while reducing emissions on the path to net zero.

Freeland also warning Canadians to prepare themselves for a possible recession in 2023.