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The federal plan to run up a $113-billion deficit over five years is the right move to promote economic growth, the chief economist at credit rating agency DBRS says.

The Canadian government had $1 billion in red ink last year, the lowest in the developed world, and the deficit is projected to peak next year at 1.5 per cent of gross domestic product before the percentage starts to drop, Fergus McCormick said Thursday.

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“We have been impressed, overall, with the macro-economic management of Canada,” said New York-based McCormick, who was in Edmonton for one of a series of meetings across the country.

“Countries would die to be in Canada’s fiscal position … Prospects are pretty good for a successful program of fiscal stimulus.”

The Liberals have properly focused extra spending on such key areas as infrastructure and transfers to low-income households, which tends to boost output and increase consumption, McCormick said.