Upsetting Daddy: Carney’s New PBO Just Gave Him a BIG Problem

Tap The Maple | Bakes On Things · Sep 27, 2026 · 20m

Mark Carney says Ottawa is on track to balance its operating budget ahead of schedule.

But Canada's Parliamentary Budget Office has just released an analysis that raises some fascinating questions about what “balanced” actually means.

The federal government now separates spending into operating and capital categories, and the PBO says some of those classifications “appear contradictory.” Even more importantly, the PBO explains that changing how expenditures are classified can affect the operating balance without changing the underlying fiscal policy.

So can Ottawa claim an operating balance…