Moody's Ratings has issued a warning regarding New Brunswick's finances, shifting the province's outlook from stable to negative. The agency has lowered its baseline credit assessment from AA2 to AA3.
Moody's cites risks in the province's fiscal trajectory and its capacity to generate revenue. Projected weak revenue growth is attributed to U.S. tariffs and slower population expansion linked to federal immigration policies. The agency also cautioned that unmanaged spending could further strain the province's fiscal position.
New Brunswick's finance minister, René Legacy, stated the province welcomes Moody's review as it implements plans for economic growth and expense management. The provincial government's 2026 budget forecasted a $1.4 billion deficit, with projections for two additional years of deficits.