Canada has released Budget 2023.
Each year, Canada releases a budget that sets the tone for spending in the upcoming fiscal year. It is a major influence in all aspects of life for Canadians and newcomers alike.
The budget shows Canada’s plans for spending and reflects the current government’s priorities. It also shows the outlook of Canada’s fiscal and economic health. These are both major factors in Canada’s immigration strategy.
This year’s budget focuses more heavily on healthcare spending, clean energy initiatives and affordability measures for Canadians who are feeling the most pressure from high inflation.
It contains policies that impact both Canadians and newcomers such as the creation of a national dental care plan for families with incomes lower than $90,000 per year and the creation of a tax-free home savings account. On April 1, financial institutions will be able to offer these accounts to provide first-time homebuyers with the ability to save up to $40,000 by contributing up to $8,000 a year. Contributions will be tax-free.
Still, Canada’s immigration programs are set the benefit from the budget. Funding will go toward supporting current programs and streamlining application processing. Budget 2023 contains an additional $55 million in spending towards Canada’s immigration system.
Alongside the most recent increase in interest rates, the BoC noted that raising the interest rate will have a positive influence in the long term. This is because high interest rates will slow and decrease the rate of inflation which reached a high of 8.1% last June.
