Finance Minister Cathy Bennett is taking exception to the Conference Board of Canada’s assertion that the provincial budget will be a factor preventing the local economy from rebounding.
The Conference Board announced this week that Newfoundland and Labrador will be the only province in Canada to face recession next year, and it pointed the finger at low commodity prices and recent austerity measures.
Bennett says government recognizes that the budget has been difficult, but it is not the reason for the economic downturn. Bennett says tough budgetary measures were necessary to help weather commodity price drops that have had a dramatic impact on the economy.
She says they have been able to successfully reduce the deficit, which along with other measures taken in the budget can only add to economic stability.