Finance Minister Nate Horner says softening oil prices mean this year's projected budget deficit is expected to grow by $1.3 billion, and will now finish at $6.5 billion in the red when the fiscal year ends next spring.

That represents a massive multibillion-dollar swing in Alberta's financial fortunes, as it is coming off an $8.3-billion surplus the year prior.

Horner said oil prices, along with uncertainty created by U.S. trade policy — specifically conflict over tariffs — are hurting the Alberta economy and remain a significant risk.