'No new spending' in Canada's upcoming budget: official

OTTAWA — The Canadian government's 2010 budget will contain "no new spending measures," a senior government official said Monday, days ahead of its release."There will be no new spending measures" announced in the budget to be released on March 4," said the advisor to Prime Minister Stephen Harper.Neither will there be major spending cuts, tax increases or attempts to slay Canada's burgeoning multi-billion dollar deficit, the senior official said.The economic recovery, the official explained, is still considered too fragile and so "now is not the time to change course.""The economy remains our primary focus for 2010," the official added, pointing specifically to job creation and economic growth as the government's main priorities.Still, a two-year stimulus announced last year is to pour 1.9 billion Canadian dollars (1.8 billion US) into the economy in 2010-2011 before it peters out.Once the economy is back on track, the government has said it hopes to eventually balance its books by slowing the rate of growth in its program spending, without affecting its pension, health care or education commitments.This strategy was reiterated on Monday. "Everything else, I expect will slow," the official said. Copyright © 2010 AFP. All rights reserved. More »

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