Infrastructure spending, changes to old-age security eligibility and a ballooning deficit are expected.
Federal government says they promise a $10-million deficit cap because of a worse-than-expected economic situation.
Bank projects Canada’s debt-to-GDP ratio will grow to 36.1% by 2020-21.
Ottawa is predicting a shortfall of at least $18.4 billion next year.
Little-known fiscal stabilization program provides help when provincial revenues fall by more than 5% from one year to the next.
Critics expect the deficit to grow even larger before the budget is tabled March 22.
Costs will boost fiscal pressure on a government poised to break its pledge to cap annual deficits at $10 billion over the next two years.
Finance minister hasn’t indicated whether the federal government will accelerate infrastructure spending to kickstart the economy.
Government to form advisory council including people from private and public sectors with experience growing successful economies.
The $2.4-billion surplus for 2015-16 projected in April by the Tories is now expected to be a $3-billion deficit.