MR NASH RETURNS

Ashburton Guardian, Volume 59, Issue 275, 2 September 1939, Page 3

MR NASH RETURNS

COMMENT ON HIS MISSION. “SATISFIED WITH RESULTS.” (per Press Association). AUCKLAND. September 1. General satisfaction with the results of his mission was expressed by the Minister of Finance (the Hon. • Nash) on his return by the Mariposa from San Francisco to-day after a four months’ A’isit- to Great Britain, Ireland, France, the United States, and Canada. He said that be had benefited from the sea voyage after strenuous negotiations in London and expressed pleasure at being back in New Zealand. Mr'Nash was met aboard the. vessel by Mrs Nash, the Minister for Mines (the Hon. P. C. Webb), (Mr P. R, Picot (Director of Internal Marketing), the chairman and superintendent of the Auckland Harbour Board (Messrs \V. 13. DarloAV and D. Holderness), and his private secretary (Mr T. R. Aickin), AA’ho returned Avitli Mrs Nash a month ago. fMr Nash Avas a popular figure among the passengers haying entered fully into the social lite ol the ship. British Attitude. “Britain wants all the trade she can haA’e,” said the Minister in commenting on the attitude of manufacturers and others towards Ncav Zealand. “There is not the slightest doubt about the desire of businessmen to maintain trade in this market, but a fair proportion of theih realise Ave must make more goods ourselves and so develop the industries of New Zealand. Those who understand our problems appreciate the position and they are very fine people the Avay they talked to me. Mr Nash said that the chief difficulties he encountered arose from harmful propaganda cabled front ew Zealand. He had endeavoured to counter the effects of this propaganda by. assuring business groups that the desire of the Government Avas to reconcile the volume of impoits jiom Britain Avith the capacity of the Dominion to buy. The manufacturers no met recognised that the Government had to take some action to adjust its trade to the reduced amount of stei ling funds available. Speaking of the £17,000,000 conversion loan, Mr Nash expressed confidence that Ncav Zealand would be able to carry out the terms of the arrangements for paying off the total by 1945. While the terms might be considered difficult, be said, he was pleased that . the rate, of interest, and price of issue had been favourable. The repayment of loan instalments of £2,000,000 m 1940 and £3.500,000 in each of the four following years Svould, of course, have the effect of curtailing Ncav Zealand’s capacity to import during those years, but this aspect had been taken fully into account during the negotiations. “I. don’t deny that there may be some problems to be faced if we have to import less,” he commented. But as far as the bargain we have made is concerned, we will pay what we have agreed to.” “No Details.” The Minister declined to go into detail regarding either the conversion or the £9,000,000 of special sterling credits arranged Avith tiie British Government, £5,000,000 of Avliich. avus foi defence and other requirements, and the remaining £4,000,000 for commercial purposes. Asked Avhether new commercial credits Avcre being made aA railahlei for the benefit of the import trade, he said there had been some delay, as certain administrative points still had to he completed, but the scheme- Avould be in operation very shortly. Any British exporter who Avished to send 1 goods to New Zealand Avould apply to the Exports Credit Department, Avhich controlled the £4,000,000, and would obtain a guarantee that sterling AA'ould bo available on a definite date, and he would take this guarantee to his hank, Avhere funds AA'ould he provided immediately to the extent of 75 per pent, of the amount involved in the shipment or, probably in the case of firms with high standing, up to 100 per cent. It was expected that the total amount of credit resulting directly from the £4,000,000 would approach £6,500,000 when, arrangements for repayment- were completed at the London end. Documents Avould be sent to New Zealand to be met by the importer in the ordinary Avay as they became due. Mtr Nash said he Avas deeply appreciative of the treatment received, in Britain, which Avas reflected in the friendly feeling toward the people in the Dominion, which Avas a contributing factor in the success of his talks.

£156,000,000 OWING IN LONDON FUND FOR- REDUCING DEBT. AUCKLAND, September 1. “We owe £156,000,000 in London,” said the Minister for Finance, the Hon. W. Nash, at Auckland. “Are avc for ever to go on building up that debt? If AA’e Avant to get rid of that- incubus avc must pay it off. There is no otlioi way.” He did not think it could be done just now, but lie thought there should be worked out an oA’erseas debt ieduetion fund, so that year after year some of this money might be paid off. Even if it was not practicable to pay off £3,500.000 a year, there were still terms in the present loan which allowed Ncav Zealand to pay it oft, provided monev could be raised. Rewarding the £5,000,000 Government credit, (Mr Nash said it was really m the form of an. -overdraft. A fan amount AA'ould be spent this year, mainly in buying aeroplanes and other equipment of that sort- in Canada.