Canada’s Five-Year Government Outlook—April 2026

Canada’s Five-Year Government Outlook—April 2026

Canadian Economic Analysis
12 min read

Author: Richard Forbes

$225.00

This quarterly economic forecast presents the medium-term outlook for the Canadian economy. This release focuses on government. For an overview of all major components of the economy, go to the Canadian Outlook main page.

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Investment and Healthcare Take Priority

The federal government will prioritize investments in defence spending, with an announced $82 billion in extra spending on defence by 2030. The public sector will contract as it looks to reduce spending elsewhere.

What investments are likely to lead provincial spending growth? What will benefit municipal finances? Will government revenues lag in spending in 2026? What will they look like in 2027 and 2028? Across all levels of government, will nominal investment rise in 2026, and what is expected between 2027 and 2030? And what might government finances look like with the uncertainty in the Middle East?

Read the online experience for our full five-year outlook.

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