The Government of Yukon is taking proactive steps to ensure responsible, transparent fiscal management of valuable taxpayer dollars with the introduction of a new debt management policy.
The debt management policy was established by a Directive of Management Board and will be published in the Yukon Gazette in October 2026. The policy sets out requirements to govern borrowing, debt administration, liquidity management, debt-related risk oversight and reporting. This is part of the government’s work on a broader debt management framework, which includes a Yukon-specific structure for planning, approving, executing, monitoring and reporting on borrowing activity.
Borrowing can be an important tool for meeting the territory's major capital infrastructure investments. The Government of Yukon's core debt is relatively new, with the inaugural bond issuance for the non-consolidated government in September 2025.
As the government’s borrowing needs evolve, this new policy will help ensure debt is managed responsibly and supports the Yukon’s long-term fiscal sustainability.
After a decade of underinvestment in reliable energy generation and health care infrastructure, we need to make significant investments to catch up to the needs of Yukoners. Borrowing will be necessary to help fund these critical, long-term projects. We remain committed to getting the territory’s finances back on track and establishing this policy is a deliberate step in that direction. The policy will govern our borrowing, strengthen fiscal management and support our path toward fiscal balance.
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Under the Yukon Act, the Government of Yukon is permitted to borrow up to a limit set by the Government of Canada. This encompasses debt incurred by the Government of Yukon and its consolidated entities. Within the limit, the territorial government is fully accountable for its borrowing decisions.
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In Budget 2026, planning for the upper limit of the anticipated short-term borrowing need pushed the Yukon close to its territorial borrowing cap of $1.2 billion.
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The Government of Yukon is working with the Government of Canada on a request to raise the territory’s borrowing limit. A strengthened debt management framework supports these discussions.
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The Yukon continues to maintain strong credit ratings, which support investor confidence, access to capital markets and competitive rates.
Tim Kucharuk
Press secretary, Cabinet Communications
867-335-2419
[email protected]
Eric Clement
Communications, Finance
867-393-6482
[email protected]