Despite the lower deficit, Duncan says the weakened global economy, especially in the U.S. and Europe, will require ``continued strong action'' if Ontario wants to balance its books on schedule by 2017-18.
   
``Ontario continues to beat its deficit targets, a direct result of managing expenses while also protecting health care and education,'' Duncan said in a speech to the Canadian Club in Toronto.
   
``Ontarians don't want deep, across-the-board cuts that would hurt their valued public services.''
   
The lower deficit projection was Duncan's last official announcement as finance minister.
   
The Liberals will pick a new leader this weekend, and Duncan has already offered to resign his Windsor-Tecumseh seat for Sandra Pupatello if the former Windsor-West MPP emerges as Ontario's new premier.
   
The Opposition wasn't impressed, however, saying Ontario's economy has a ``history of mismanagement'' under the Liberal government.
   
``This is Minister Duncan playing clean up, his swan song,'' said Progressive Conservative critic Vic Fedeli.
   
``When you look at the experiences of the last nine years, you would see that this is a completely mismanaged economy.''