The Decline of the Other Alberta Advantage

With that loss, and with rap- ies greatly; historically, Alberta has been in the id debt accumulation since then together with enviable position of paying a small fraction of much more debt accumulation expected in the what governments in other provinces pay. [...] For As noted, the statistics for 2007/08 are illustra- context, $2.7 billion is only slightly less than the tive of the low debt interest costs that had pre- $3.1 billion the provincial government spent on vailed in Alberta for a long time. [...] Within a nine year period, the government The cost of servicing Alberta’s debt drew down all of its net assets and in 2016/17 The elimination of Alberta’s net assets de- returned to a net debt position. [...] The govern- scribed above, and especially the rapid increase ment forecasts that debt will already have in debt that is now occurring and is expected climbed to over $30 billion by the end of this to continue to occur in the years ahead, are fiscal year (2018/19). [...] The forecast is that Alberta’s debt service pay- ning of the period, Alberta (black line) clearly ments fiscal advantage will continue to be stands alone with the lowest interest payments eroded in the years ahead—and, in fact, will dis- per person.