A fiscal update released Tuesday shows Manitoba's new N-D-P government is facing a ballooning deficit.
The update says that the deficit is now projected to come in at 1.6 billion dollars, which is more than four times the original amount listed in the province's spring budget.
A softening economy and a major downturn in Manitoba Hydro's numbers are being cited as reasons for the huge deficit, along with increased expenses driven by inflation, new health-care costs and recent collective agreements in the public sector.
Premier Wab Kinew has previously accused the former Progressive Conservative government of hiding the state of the province's finances before voters went to the polls.
with files from the Canadian Press
