nov 30 reuters  high energy prices will help canadas main oilproducing province of alberta trim its 202122 budget deficit to c58 billion 45 billion from the c78 billion shortfall forecast in august the government said on tuesday alberta whose economy is closely tied to swings in global oil prices said in a fiscal update that drilling activity and crude production had increased while business output remained solid personal and corporate tax revenues will rise it added finance minister travis toews said in a statement that the more upbeat forecast was thanks to improved employment solid consumer spending residential construction and activity and strongerthanexpected global energy demand growth  boosting oil and natural gas prices after contracting 79 last year albertas real gross domestic product is now forecast to grow 61 in 2021 less than the 67 projected in august rising input costs supply side bottlenecks and labor shortages in some industries are expected to restrain job gains in the near term the update said global oil prices surged to multiyear highs in october due to tight supply and increased optimism about demand recovering from the impacts of the pandemic but last week concerns about a new covid19 variant sent oil prices sharply lower and it remains to be seen how the spread of the variant will affect demand for crude higher energy prices also prompted saskatchewan to cut its own budget deficit forecast on monday this month canadas two most populous provinces ontario and quebec both revised downward their own deficit forecasts citing strongerthanexpected growth read more additional reporting by nia williams in calgary editing by david gregorio