Government debt interest payments in P.E.I. currently amount to $123 million annually.
Atlantic Canada Prosperity
Last year was the first in at least 25 years that the province derived no revenue from petroleum royalties.
The three Maritime provinces rely more heavily on federal transfers than any other province.
Among residents who donated, the average annual contribution equalled only 0.45 per cent of their household income.
Nova Scotia recorded the largest government sector at 61.6 per cent of the economy, more than double the optimal size.
Some workers remain unemployed because the benefits are generous.
In 2019, equalization represented 15.5 per cent of provincial revenue in Nova Scotia.
The province's net government debt may rise 17 per cent in 2020/21.
While the regulatory change is welcome news, significant reforms are still required to restore investor confidence.
Budget include an additional $185 million in transfers from Ottawa.
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