Justin Trudeau’s government has added the most debt in Canadian history, with federal debt doubling from $616 billion in 2015 to over $1.2 trillion by 2024, representing the highest accumulation of debt outside of world wars or major recessions. Trudeau's tenure is noted for significant pre- and post-pandemic spending.
During Prime Minister Justin Trudeau's tenure, federal per-person debt increased by 35.3 per- cent between 2015 and 2022.
Who Manages Canada's National Debt? The federal debt is the responsibility of the central government's Department of Finance. This ministry issues three types of debt-raising instruments: Treasury bills for short-term finance.
In 2024, the Canada's general government gross debt-to-GDP ratio was 106%, compared to the United States at 121%.
Debt held by foreign investors
In 2021 (the fiscal year ending 31 March 2022) non-resident investors held 29% of Government of Canada securities, up from 24% in the previous year, which the Department of Finance described as "in the mid-range compared to other sovereigns in the G7."
The United States is Canada's chief trading partner, constituting more than two-thirds of all Canadian trade; exports account for a larger share of trade than imports. The dependence on U.S. trade is not just a technical matter of market shares in imports and exports.
The country the U.S. owes the most money to is Japan, holding over $1.1 trillion in U.S. Treasury securities, followed by the United Kingdom and China, with Japan consistently being the largest foreign holder for years, a move seen as stabilizing for both economies.
Despite any federal assurances, the federal deficit is still projected at $78 billion for 2026, narrowing only to $57 billion by 2030, and leaving Canada exposed to higher debt costs and weak growth.
The United States has the largest total government debt by dollar amount, exceeding $38 trillion, followed by China and Japan. However, when debt is measured as a percentage of the country's economic output (GDP), Japan often leads among developed nations (around 230% of GDP), while countries like Sudan have even higher ratios (over 250% of GDP) due to extreme economic challenges.
The account's annual report for 2018-19, the latest publication available, shows China owes Canada $371 million in loans. Global Affairs Canada said loans were provided periodically to Beijing from the 1980s to the early 2000s to support Canadian exports.
Between 1997 and 2008, $105 billion of the federal debt was repaid, dropping to $457.6 billion in 2007-08. Between 2008 and 2015, more than $150 billion was added back onto the federal debt, leaving it at $612 billion. According to the 2015 budget, balance had been reached.
The debt ratio stabilized at a relatively high level after the crisis until the pandemic. The massive increase in debt during the pandemic and subsequent government spending raised the overall federal-provincial net debt ratio to about 75 percent of GDP, nearing levels from the time of the “Debt War” conference.
Beginning in 1994-95, a dramatic decline in the deficit from its $42-billion peak, turning into a series of surpluses from 1997-98 to the present. In fiscal year 2000-01, the surplus was $17.1 billion, the largest annual surplus in Canadian history.
Canada holds the highest household debt level among G7 nations by multiple measures. Canadian household debt to disposable income reached over 180%, compared to approximately 100% in both the United States and Germany.
1837: Andrew Jackson
This resulted in a huge government surplus of funds. (In 1835, the $17.9 million budget surplus was greater than the total government expenses for that year.) By January of 1835, for the first and only time, all of the government's interest-bearing debt was paid off.
1 United States 21,764,799 2 Euro area 18,075,643 3 United Kingdom 9,837,535 4 France 7,368,685 5 Norway 7,110,029 6 Germany 6,6,91,139 7 Japan 4,687,815 8 Netherlands 4,197,719 9 Luxembourg 3,965,300 10 Italy 2,749,75 https://www.ceicdata. com/en/indicator/norway/external-debt--of-nominal- gdp https://www.gfmag.com/ ...
Which countries own the most land in the U.S.?
The United States is the world's richest country by a wide margin. It's a global hub for finance, tech, energy, and entertainment. From Silicon Valley to Wall Street, American firms shape worldwide trends. The country benefits from vast natural resources, advanced infrastructure, and a culture of innovation.
Canada's leading exports to the United States are energy products and vehicles, together with over $40 billion in agricultural products, including baked goods, cereals and pasta, vegetable oils, beef and beef products, processed fruit and vegetables, and fresh vegetables.
Notwithstanding, the two countries' relations saw rapid deterioration during President Donald Trump's second term due to his 2025 tariffs and annexation threats towards Canada, with recent surveys suggesting increased distrust of the United States by Canadians.