The federal government posted a budgetary surplus of $3.1 billion between April 2022 and February 2023.
In its monthly fiscal monitor, the Finance Department says the result compared to a deficit of $69.8 billion during the same period during the previous fiscal year.
Government revenues were up $36 billion, or 10.1%, amid stronger economic growth and the fading effect of the pandemic.
Program expenses excluding net actuarial losses decreased $45.6 billion, or 11.5%, as the federal government wound down Covid-19 supports.
Higher inflation and interest rates pushed up public debt charges by $9.1 billion, or 40.7%.
Meanwhile, net actuarial losses fell by $0.4 billion, or 4.7%.