Federal budget will benefit P.E.I., says Finance Minister Bill Morneau

The federal budget contains a number of initiatives that will benefit Islanders, Finance Minister Bill Morneau told Island Morning host Matt Rainnie on Monday.

"I think what's in the budget for people in Prince Edward Island is really very much what I'm talking to Canadians across the country about," he said.

Morneau travelled to the Island to take part in an infrastructure announcement in Charlottetown.

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Morneau said the federal government has put in significant measures to help middle class Canadians be more successful.

"The Canada Child Benefit in particular helps nine out of 10 families with children to have more money when they're raising their kids."

Morneau said people on the Island, like elsewhere in Canada, were interested in the government's pledge to invest in infrastructure to grow the country's economy.

Asked how spending would help economic growth, Morneau said it would help by investing in things like transportation infrastructure.

"It makes it easier for people to get around and it also gets people jobs," he said. "So it really helps immediately in terms of people working on projects and in the long term it makes our society more efficient and better for business."

Deficit and debt

When asked what he was hearing about concerns about the deficit and the debt, Morneau said Canadians made a choice to focus on growing the economy.

"What I'm hearing is, 'Let's get on with it. Let's find a way that we can actually grow the economy so that the next generation have great jobs and we continue with the successes this country has been experiencing for so long.'"

The federal finance minister said the government will be prudent but over the term of its mandate will reduce the country's net debt to GDP so it is lower at the end of the mandate than it is now.

"We've said that the advantage of being in the best financial position of any G7 country means we can make investments now. But we've also said that we expect those investments to grow."

Morneau said the government expects to achieve a balanced budget in or near the five-year mark.

He added the federal government has not ratifiedthe Trans Pacific Partnership and said it is premature to talk about the $4.3 billion compensation package for farmers.

"I can tell you that we will rigorously defend Canada's agricultural industry. It's a critically important part of our economy and I know it's important in Prince Edward Island."

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