Department of Finance Canada Future-Oriented Statement of Operations (unaudited)

For the year ending
March 31, 2022

Department of Finance Canada
Future-Oriented Statement of Operations (unaudited)
For the Year Ending March 31

(in thousands of dollars)
Economic and fiscal policy framework
117,549,270 99,780,935
Internal services
75,868 69,993
Total expenses 117,625,138 99,850,928
Investment income
2,928,773 1,313,967
Interest on bank deposits
248,324 192,015
Sale of domestic coinage
105,551 117,241
237,748 237,846
Revenues earned on behalf of Government
(3,520,396) (1,861,069)
Total revenues - -
Net cost of operations before government funding
and transfers
117,625,138 99,850,928
The accompanying notes form an integral part of these Future-Oriented Statement of Operations.

Notes to the Future-Oriented Statement of Operations (unaudited)

1. Methodology and significant assumptions

The Future-Oriented Statement of Operations (FOSO) has been prepared on the basis of the government priorities and departmental plans as described in the 2021–22 Departmental Plan of the Department of Finance Canada (the department).

The information in the forecast results for fiscal year 2020 to 2021 (2020–21) is based on actual results as at December 23, 2020 and on forecasts for the remainder of the fiscal year. Forecasts have been made for the planned results for fiscal year 2021 to 2022 (2021–22). A fiscal year starts April 1 and ends March 31.

The main assumptions underlying the forecasts are as follows:

These assumptions are made as at December 23, 2020.

2. Variations and changes to the forecast financial information

Although every attempt has been made to forecast final results for the remainder of 2020–21 and for 2021–22, actual results achieved for both years are likely to differ from the forecast information presented, and this variation could be material.

In preparing this FOSO, the department has made estimates and assumptions about the future. These estimates and assumptions may differ from the subsequent actual results. Estimates and assumptions are based on past experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

Factors that could lead to material differences between the FOSO and actual results include:

After the Departmental Plan is tabled in Parliament, the department will not be updating the forecasts for any changes in financial resources made in ensuing supplementary estimates.

3. Summary of significant accounting policies

The FOSO has been prepared using the Government of Canada's accounting policies in effect for fiscal year 2020–21, and is based on Canadian public sector accounting standards. The presentation and results using the stated accounting policies do not result in any significant differences from Canadian public sector accounting standards.

Significant accounting policies are as follows:

a) Expenses

b) Revenues

4. Parliamentary authorities

The department is financed by the Government of Canada through parliamentary authorities. Financial reporting of authorities provided to the department differs from financial reporting according to generally accepted accounting principles because authorities are based mainly on cash flow requirements. Items recognized in the Future-Oriented Statement of Operations in one year may be funded through parliamentary authorities of prior, current, or future years. Accordingly, the department has a different net cost of operations for the year on a government funding basis than on an accrual accounting basis. The differences are reconciled in the following tables:

a) Reconciliation of net cost of operations to requested authorities
(in thousands of dollars)
Net cost of operations before government funding and transfers 117,625,138 99,850,928
Adjustments for items affecting net cost of operations but not affecting authorities:    
Interest expense on long-term annuity liability
(39,753) (38,947)
Services provided without charge by other government
(26,219) (25,889)
Discount recognized on repayable contributions
(19,110) -
Employee future benefits
(253) 171
Amortization of tangible capital assets
(913) (898)
(1,705) (1,705)
  (87,953) (67,268)
Adjustments for items not affecting net cost of operations but affecting authorities    
Payment to the Canada Infrastructure Bank
2,252,357 3,967,976
Repayable contributions
200,000 -
Purchase of shares in the Canada Enterprise Emergency
Funding Corporation
200,000 -
Payment for the purchase of initial shares in the
Asian Infrastructure Investment Bank
50,200 49,000
Payment of long-term annuity liability
109,888 -
  2,812,445 4,016,976
Requested authorities 120,349,630 103,800,636
b) Authorities requested
(in thousands of dollars)
Authorities requested    
Vote 1 - Operating expenditures
147,981 114,065
- Grants and contributions
22,685 35
- Other transfer payments
3,270,888 -
Statutory amounts
116,457,876 103,637,536
Non-budgetary items
450,200 49,000
Total authorities requested 120,349,630 103,800,636
Report a problem or mistake on this page
Please select all that apply:

Thank you for your help!

You will not receive a reply. For enquiries, contact us.

Date modified: