{"id":7360,"date":"2023-09-01T12:11:27","date_gmt":"2023-09-01T12:11:27","guid":{"rendered":"https:\/\/roydadnaft.ir\/English\/?p=7360"},"modified":"2023-09-01T12:11:28","modified_gmt":"2023-09-01T12:11:28","slug":"canadian-province-of-albertas-projected-surplus-intact-despite-oil-price-volatility","status":"publish","type":"post","link":"https:\/\/roydadnaft.ir\/English\/7360\/","title":{"rendered":"Canadian province of Alberta’s projected surplus intact despite oil price volatility"},"content":{"rendered":"
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Roydad Naft News Agency – Canada’s main oil-producing province of Alberta on Thursday forecast a virtually unchanged budget surplus in the 2023\/24 fiscal year and said the outlook was strong, despite unpredictable crude prices.<\/p>\n\n\n\n

The projected C$2.44 billion ($1.81 billion) surplus is slightly larger than the C$2.35 billion predicted in the February\u00a0budget.<\/p>\n\n\n\n

“The economic outlook for Alberta remains strong, bolstered by population growth and the labor market,” the province’s finance ministry said in a fiscal update.<\/p>\n\n\n\n

Alberta is Canada’s largest oil-producing province and home to the oil sands, the world’s third-biggest crude reserves. Its economy is closely tied to oil prices.<\/p>\n\n\n\n

“With rising demand expected to outpace supply, oil markets should tighten in the second half of the year and support prices … downside risks remain elevated,” said the update, citing China’s economic slowdown and the risk posed to growth by high global interest rates.<\/p>\n\n\n\n

Alberta’s right-of-center government has vowed to protect the energy industry, saying Canadian Prime Minister Justin Trudeau’s push to cut emissions of greenhouse gases nationally will\u00a0cripple\u00a0oil and gas output.<\/p>\n\n\n\n

Resource revenue is seen at C$17.67 billion in 2023\/24, down from the C$18.36 billion forecast in February, due to lower royalties. The West Texas Intermediate oil price is estimated to average $75 U.S. per barrel, $4 lower than in February.<\/p>\n\n\n\n

This should be offset by a narrower light-heavy oil price differential, which is now forecast to average $15 per barrel, $5 narrower than forecast in February.<\/p>\n\n\n\n

Real gross domestic product is expected to rise 3.0% in 2023, compared to the 2.8% seen in February, and grow by 2.9% in 2024. The improved outlook is driven by the large number of people moving to the province.<\/p>\n\n\n\n

Alberta’s population is forecast to grow 4.4% in the 2023 census year, which would be the fastest annual growth since 1981.<\/p>\n

Updated on