Alberta's Minister of Finance says things are looking up for the government and for the province economically.

Joe Ceci says the government's forecasting growth of 4.0 per cent for this year up from the 2.6 per cent when the budget came down and up from 3.1 per cent at the end of the first quarter.

The latest financial report says 70,000 full time jobs have been created since the middle of last year, and most of those are in the private sector.

The number of drilling rigs has doubled over last year's levels for much of the year and retail sales have climbed back to pre-recession levels.

Ceci says the government's saved $300-million of it's $400-million target by managing vacancies and discretionary costs.

This year’s deficit is forecast to be $10.3 billion, $183 million less than forecast in the budget.

Total expense is forecast at $54.7 billion, $180 million lower than the budget.

Alberta's Liberal Leader David Khan says he's deeply disappointed the NDP is still not "being honest with Albertans".

He says while it's true the government's looking at a $138 million reduction in the deficit, the government fails to accurately represent what a small change that is when we are facing a $10.3 billion deficit.

He adds that small reduction is not the result of good fiscal management, but from direct borrowing and the draining of $250 million from Alberta's risk adjustment Contingency Fund.

The government wants to hear from Albertans on priorities heading into next spring's budget.

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