Debt to Revenue hits 260%!!

Dear Minister & Bank Governor,

 

 

I just received the Fiscal Monitor for Feb 2012 table six which says Total Interest-beraring was $952,676 million aka $952.7 Billion

 

Recent Federal Budget had 2011-12 Revenue as ~ $248.0 Billion  (chart on pg4)

 

Many cautionary articles report that the average Canadian has a Debt to (after tax) Income ratio of ~150%

 

But the Federal government is running debt at ~260% of revenue.

 

Surely this means that a surge in interest rates would blow the budget totally out of whack?

 

And ... surely that means that interest rates cannot go up anytime soon.

 

Why are the professionals "managing the economy" continuing to recommend "do what we say, not what we do"?

 

 

Yours,

 

rce