THE DOMINION'S FINANCES

Auckland Star, Volume LVII, Issue 143, 18 June 1926, Page 7

THE DOMINION'S FINANCES

MAKE CAUTION NECESSARY.

BCT NO CAUSE FOR ALARM

Dealing with the Dominion's overseas trade in his annual address to shareholders of the Bank of New Zealand today. Sir George Elliot said:— I

The external trading figures for the year are anything but satisfactory. Compared with the previous year, exports show a shrinkage of over £G,000,000, whilst imports increased by over £3,200,000. Dairy produce, as the result of unfavourable weather conditions, fell off in quantity and value. Meat increased in quantity and> in estimated exportable value, though it is doubtful if that value will be realised. Wool increased in quantity, but its value fell by over £4,000,000 as compared with the previohs year, when abnormally high prices ruled. Comparisons of one year with another, however, are apt to be misleading. An examination of the figures of the Government Statistician would show that, with the exception of beef, which appears to have fallen in price, approximately "A per cent since 1914, our principal primary products have increased considerably m value: — Butter, first grade creamery by 30% Wool, crossbred, medium to >;ood by 17% Lamb I.v HTCi Mutton by 04% The increase' in imports is mainly represented by motor vehicles and accessories, tobacco, spirits, apparel, drapery and textiles. It may be noted, however, that while imports compared with exports were abnormally high during the year, orders sent abroad by importing houses during the last six months have been on a much reduced scale. Apart from this heavy adverse trade balance, it should be remembered that about £0,000.000 a year must be provided in London to pay interest on Government and local body loans raised there. These figures emphasise the necessity for economy and prudence on the part ot" the Government, local bodies, and t.ie public generally, but there is no cause for serious alarm, as the country is well able to stand a period of adversity. Our exports and imports were: — Exports. Imports. t'uitcd Kingdom .. £27,050,15S (liber British Possessions :i,r>oi.o_r. i:i,o-.u,tr,:; Foreign countries . 1-!,U-!I,UUS Total £-8.(307,557 £.33,0'J0,5j0