Get ready for an economic slowdown: Here's what the federal fiscal update means for Canadians

The Government of Canada has presented a federal fiscal update to help Canadians soldier through rising inflation and housing costs.

Deputy Prime Minister and Minister of Finance Chrystia Freeland held a press conference in the House of Commons on Thursday afternoon to present this year’s Fall Economic Statement.

Freeland spoke about doubling the GST tax credit for Canadians for at least six months, which was announced on October 18 when Bill C-30 received royal assent. She reiterated that payments will begin going out on Friday.

Prime Minister Justin Trudeau tweeted on Monday that Canadians can expect to start receiving payments Friday, November 4.

To help you pay the bills, we’re doubling the GST Tax Credit for 6 months for 11 million households. Single Canadians without kids will get up to $234 more, couples with two kids will get up to $467 more, and seniors will get $225 more on average. Payments start going out Friday.

— Justin Trudeau (@JustinTrudeau) October 31, 2022

“This is a challenging time for so many of us, for our friends, for our families, for our neighbours. It’s important as both the deputy prime minister and the minister of finance, that I’m honest with Canadians about the challenges that still lie ahead. Interest rates are rising as the Bank of Canada steps in to tackle inflation. And that means our economy is slowing down.”

Those hoping to buy their own home will get to benefit from a doubled first-time homebuyers’ tax credit. With the Bank of Canada raising its interest rate six times this year, the double tax credit is a welcome change for many.

Some relief also awaits mall business owners.

“We’re working to deliver lower credit card fees so that small businesses don’t need to choose between cutting into their already narrow margins and passing fees onto their customers,” stated Freeland.

Share buybacks will now be taxed to make sure that large corporations pay their fair share, and to encourage them to reinvest their profits in Canadian workers.

There’s also great news for students, as the Liberal government is looking to permanently eliminate interest on the federal portion of  Canada Student Loans.

The feds are also creating a new quarterly Canada workers benefit to deliver advanced payments and put more money sooner into the pockets of Canada’s lowest paid and often most essential workers.

“This means the Canada workers benefit will now support 4.2 million Canadians,” the deputy PM noted.

There is also a new Canada growth fund being launched to help create great jobs in the country and help fight climate change. It is aimed at attracting billions of dollars in new private capital.