FARMERS' BANKS.

Auckland Star, Volume LIX, Issue 198, 23 August 1928, Page 5

FARMERS' BANKS.

A CONTRADICTORY ATTITUDE "MORE SELF RELIANCE." (By Telegraph—Parliamentary Ecporter.) WELLINGTON, this day. The demand for farmers' banks-which was heard during the Budget debate received some attention from the Minister of Finance when replying. Taking the member for Gisborne as a typical advocate, the Hon. W. Stewart suggested that Mr. Lysnar had been curiously contradictory. He was emphatic that what was wanted was more self reliance on the part of farmers. Yet he suggested that the Government should give farmers' banks a start with five millions sterling, and the farmers would raise forty millions. The Minister added that he agreed with the demand for more self reliance, and if the scheme could be worked by farmers he would regard it as an admirable proposal. The scheme was copied from other countries, where farmers' banks were lending to their Governments. In Belgium one of these concerns loaned eight or nine millions to the State, but in New Zealand the process seemed all the other way. The Government would give the facilities and the machinery, and if the farmers would work it this was all to the good. "If they want an agricultural bank, there is nothing to prevent them starting it," concluded Mr. Stewart, "but all schemes so far presented consist of the Government launching it, supplying the funds, and taking only a minor share in its management."