ADVANCES TO FARMERS.

Auckland Star, Volume LIX, Issue 262, 5 November 1928, Page 6

ADVANCES TO FARMERS.

Claiming "The Farmer Knows . . . You Judga by Achievement," a Reform advertisement in practically every eountry newspaper reads: "Many of you have received a share of the £11,000,000 advanced to farmers at exceptionally low interest rates during the past three years per medium of the Stat® Advances Rural Credits and Intermediate Credits Departments. Thanks to the Coates Government." That is clear enough. The first thing that happened was a rise in interest rate on advances. Mention of Intermediate Credits as well as reference to the "three years of the Coates Administration" fixes the period. Farmers only received what was "advanced," not what was "authorised." Authorisations are frequently for sums that farmers cannot accept. The settlers' branch deals with some housing loans as well.as loans to farmers. Total advances in 1925-26 were £3,572,315; 1926-27, £3,302,965; 1927-28, £613,830. Grand total, £7.489,110. About eight to ten per cent went to housing—the amount cannot be . definitely ascertained —but '"authorisations" t?r dwellings were £444,030 in 1925,26 £206.053 in 1926-27, unobtainable in 1927-28; total for years, £650,080. As to the claim implied in " Thanks to the Coates Government," the money was obtained in the ordinarv working of the settlers' branch. Increase in current advances on rural security is from £9,360.162 to £10,981,397, or £1,621,235; the amount current on rival security actually declined bv £54,937 last year. That the £1,621,235 increased loans to settlers were from internal resources, or could have been so advanced, is evident, in that the settlers' braneh ha 3 loaned over £2,500,000 to other branches, including £270,500 of the £751,900 paid out by the Rural Credits braneh. The Intermediate Credits advanced only £30,899. and anv otlu-r advances are insignificant. The £11*000,000 claim comes to this, that not only has the Go\ eminent not advauced any fresh money for farmers, but even monev which could have been advanced by the settlers' branch (for the operations of which Reform claims credit) has gone elsewhere. What next will that party boast of? It is certainly astonishing that such a claim should be put forward. READY RECKONER.