Minority Parliament Could Prompt Higher Deficits Amid Party Compromises: Economists

Canadian Prime Minister Mark Carney addresses supporters at his campaign headquarters on election night in Ottawa, on April 29, 2025. The Canadian Press/Nathan Denette

With the Liberal Party poised to form a minority government following the election, economists say the focus now shifts toward Prime Minister Mark Carney’s spending promises amid the trade war with the United States.

The Liberals held 169 seats as of late Tuesday afternoon, three short of a majority.