The ambitious plan, seen as a key test of the new leader and former central banker, is as much a political document as a spending blueprint. It warns that Canada is in an era of significant change not seen since the fall of the Berlin Wall, which is underscored by its rapidly shifting relationship with the US, once the country's closest ally.


Here are six takeaways from the spending plan:


'Sacrifices' vs 'generational investments'

The budget includes billions of dollars in spending that could balloon Canada's deficit to C$78.3bn (£42.6bn) - the second biggest on record. Carney and Finance Minister Champagne have defended the massive spending plan as an investment to help boost Canada's global competitiveness.



From trade to Eurovision: a global shift

Canada is looking to Europe and Asia with the aim of doubling non-US exports over the next decade. The budget proposes millions in backing for businesses working to develop new export markets.



Making Canada a 'clean energy superpower'

Carney's fiscal plan proposes making Canada a clean energy superpower by supporting low-emission energy projects, while still grappling with its commitment to climate initiatives.



Sovereignty through defence - and space launch

Canada will boost defence spending and plans to establish capabilities for space launches, positioning itself in the global security landscape.



Undoing the Trudeau era

Carney has begun to roll back former Prime Minister Justin Trudeau’s policies on climate and immigration, cutting targets for new temporary residents significantly from prior commitments.



Cushioning Canada from trade shocks

The government aims to spend C$5bn to help sectors affected by the ongoing trade war, coupled with initiatives to support domestic businesses.