REGINA -- The provincial government says Saskatchewan remains on-track with its plan to have a balanced budget this year.

The 2019-20 Mid-Year Report shows a forecasted surplus of $37.4 million, up $3 million from the budget tabled by the Saskatchewan Party in March.

“We are on course with our financial plan — it’s the right balance for Saskatchewan people,” Finance Minister Donna Harpauer said in a news release. “We continue to manage spending carefully, invest in priorities, and help keep our economy strong.”

The report shows a forecasted expense of $15.3 billion, which is increased $326.3 million since March's budget announcement. The province says a $285.2 million non-cash increase to pension expenses accounts for most of that expense.

Public debt is now forecasted at $302.1 million lower than the budget, mostly due to decreased debt at SaskPower, the province says.

“The outlook for our economy remains positive, with modest growth projected this year and strengthening in 2020,” Harpauer said. “While challenges remain in some sectors, economic indicators including population, employment, wholesale trade and non-residential building construction are up.”

The report forecasts a net debt of $12 billion at March 31, 2020, which the province says, as a GDP percentage, is among the lowest debts in Canada.

The province tabled a $15 billion budget last March.

The NDP opposition says the Mid Term Report shows that provincial economy is hurting. Finance critic Trent Wotherspoon says projected economic growth of 1.2 per cent has been downgraded to 0.6 per cent. He points to a decline in jobs, retail sales and construction.

Wotherspoon says the government failed to set money aside when times were good and now classrooms, hospitals and mental health services are in dire need. He is calling for an immediate cash injection in those areas, even at the risk of running a slight deficit.