Ahead of today's non-budget Federal Fiscal Snapshot............something to consider.
While Canada's deficit hasskyrocketed.........(likely to 300B'ish)...........adding the same to our national debt as well.....
The total debt we own to the market has likely declined, as the Bank of Canada, via printing money, has added over 400B in assets in the last few months.
All indications are, despite the skyrocketing debt, that the Federal government will spend
less on debt servicing costs this year, than last.
To my knowledge, this is the first large scale borrowing from ourselves that has occurred since the early 70s.
The argument against doing this in the past has been that to do so promoted inflation. (its not at all clear that this is the case in the historical record).
But if that were a given, you'd expect to see prices rocketing now, or imminently.
Interesting times...............
Weekly Wednesday statement of assets and liabilities as required by the Bank of Canada Act. The figures for the last reference period are preliminary and are subject to revision.
www.bankofcanada.ca