Sask. sees $292 M deficit triggered by forest fires, low oil

Forest fires and the declining price of oil have taken a big bite out of Saskatchewan’s finances.

The books on the first quarter of the 2015-2016 fiscal year were opened up Monday and they show the province currently has a projected deficit of $292 million.

Total revenue is now forecast at $14.04 billion. That’s down $237.8 million from the budget. Expenses are now at $14.33 billion, which is up $161 million from the budget.

“Lower oil prices combined with an unprecedented number of forest fires and the largest evacuation in Saskatchewan’s history are putting pressure on the province’s finances,” said Finance Minister Kevin Doherty in a statement.  “At the same time, our diversified economy continues to show strength in other areas. Our population continues to grow, our unemployment rate is the lowest among provinces, and we continue to show the strongest growth in wholesale trade in Canada.”