OTTAWA, Feb 28 (Reuters) - Canada recorded a slight drop in its budget deficit to C$21.72 billion ($15.05 billion) for the first nine months of the 2024/25 fiscal year as government revenues increased faster than expenditure, the finance ministry said on Friday.

By comparison, the deficit in the same period a year earlier had been C$23.61 billion, it said in a statement.

Program expenses rose 10.7% on increases across all major categories of spending for the nine months. Public debt charges increased by 17.3% largely because of higher interest rates, the ministry said.

Year-to-date revenues grew by 11.8%, largely reflecting higher tax revenues and from other taxes and duties.

On a monthly basis, Canada's budgetary balance in December swung to a surplus of $1 billion, from a deficit of C$4.47 billion in same month the prior year.

($1 = 1.4432 Canadian dollars)

((Reuters Ottawa bureau; [email protected] , opens new tab))

Keywords: CANADA BUDGET/

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https://www.reuters.com/markets/canada-budget-deficit-over-first-nine-months-202425-c2172-bln-2025-02-28/