Alberta’s commitment to fiscal responsibility continues as the cornerstone of our province’s strength. Budget 2006 was our 13th consecutive balanced budget. Alberta is the only province in Canada with total financial assets that exceeds total liabilities, and a Triple A credit rating.

In March 2005, the government established the $3.5 billion Debt Retirement Account, equal to the amount of accumulated debt at that time. The assets in this account will only be used to repay the remaining accumulated debt as it matures. During 2005-06, $1,280 million of accumulated debt was repaid from the assets locked in the Debt Retirement Account. Over the last decade, the government has eliminated $23 billion of accumulated debt.

The money in the Debt Retirement Account has been invested in high quality government and corporate fixed income investments, with terms matching maturing debt issues.

On this page you will find links to information from the Treasury Management Division on how it manages the debt and works to keep interest cost, called debt servicing costs, low. You will also find information about Alberta's credit rating history.

Alberta’s steady debt reduction plan has saved Alberta about $1.5 billion in annual debt servicing costs (Fiscal Plan, Budget 2006). That means millions of dollars every year that can be reinvested in priority areas important to Albertans, such as health, education, infrastructure, savings, and tax cuts.