Canada posted its first budget surplus since the global economic downturn on Tuesday, lifting the re-election hopes of Prime Minister Stephen Harper's Tories in six months.

Despite the recent oil price plunge's drag on the government revenues of this major energy exporting nation, the Conservatives projected a Can$1.4 billion (US$1.1 billion) surplus in fiscal 2015-2016, from a record deficit of Can$55.6 billion in fiscal year 2008-2009.