The Report
of the Auditor General for the year ending March 31, 2014 is important for the observations
he offers regarding the state of the Province’s finances. He delivers comment (but no conclusions) on the
impact of oil on revenues, the pattern of government spending and how the lack of
fiscal discipline is resolving into a serious structural deficit. It is a story
told in charts and graphs more than as a written narrative.
The Report comes as the world price of oil has experienced a 25-30% hair-cut. Many wonder how the Government will curtail public
spending without injuring the economy. Yet, everyone knows the time has passed for
the easy method of fiscal restraint.
The A-G’s
Report deserves two very different comments.
One relates to its incompleteness, though that is partly the fault of the Department of Finance, on which the work is based. The second is why it is important; a matter which will be dealt with in a subsequent Post.
One relates to its incompleteness, though that is partly the fault of the Department of Finance, on which the work is based. The second is why it is important; a matter which will be dealt with in a subsequent Post.
