Government and Municipalities of Québec

Debt representing accumulated deficits as defined in the public accounts represents the difference between government liabilities and assets (financial and non-financial). This is “bad debt,” meaning debt that doesn't correspond to any assets.

Net debt refers to debt that was used to finance non-financial assets (fixed assets) and accumulated deficits. It is obtained by subtracting the government's financial assets from its total liabilities.

In recent years, government debt has become increasingly important in discussions about public finances. Citizens are concerned about the level of debt and how it is changing. In 2020-21, debt increased significantly due to the drop in revenues, which resulted from the contraction of the economy,...