KITCHENER -- City of Kitchener officials say recently announced provincial funding for municipalities will help them tackle a projected deficit of nearly $6 million.

The city's August financial update shows a $5.8 million projected deficit. The largest part of that deficit comes from parking, the city said in a news release. The parking deficit sits at $2.1 million.

Officials said the deficit is the result of the COVID-19 pandemic. Kitchener has been releasing monthly financial numbers for the past five months to share the city's financial position during the pandemic.

The numbers in August remain consistent with the projected deficit in July.

The provincial government recently announced $4 billion -- $2 billion for municipal operations and $2 billion for transit -- in funding for municipalities in Ontario. The allocation of that funding hasn't been announced yet.

The city said it hopes the funding is handed out on a per capita basis to help address the projected shortfalls.