BANK RETURNS.

Auckland Star, Volume LXVI, Issue 243, 14 October 1935, Page 16

BANK RETURNS.

DOMINION BUSINESS. FIXED DEPOSITS SHRINK. INCREASE IN ADVANCES. (By Telegraph.—Own Correspondent.) WELLINGTON, Sunday. The statutory returns showing the average amount of liabilities and assets of the commercial banks operating in the Dominion for the quarter ended September 30 show that as compared with the returns for the corresponding quarter of 1934 there was a reduction in the total amount of moneys 011 fixed deposits, which is shared by every bank, of approximately £4,100,000, but moneys 011 current account show an increase of over £080,000. Advances are more by 100,000 and bills discounted are less by £489,000. Tlio® free deposits show increases in the holdings of all the banks but the Bank of New Zealand, where there is a relatively negligible reduction of £7080. The free deposits shown by each bank aro as follow:— " ' FREE DEPOSITS. Bank. Sept., 1034. Sept., If)."". New Zealand £10.198,031 £10,190.042 Union 2,477,510 2,023,578 New South Wales 2,424,000 2.482.7 IS Australasia 1,000,975 2,070,325 National 4,010,333 4,283,370 Commercial 1,090,30!) 1,142,174 £22,111,520 £22,793,143 The term money, or fixed deposit? with the banks, show reductions in every instance except the Commercial Bank, where there is an increase of £47,572. The amounts held by each bank are set out as follow:— FIXED DEPOSITS. Bank. 1 Sept., 1934. Sept.. 1935. Now Zealand .... £20,044.509 £18,100.9-19 Union 4.505.252 4.480.0N0 New South Wales 4.793,585 4.528.151 Australasia 3.729.300 3.305.34H National 7,217,224 5,950,109 Commercial 850,435 808,007 £41,440,341 £37.340,704 The banks have found more channels open to them this year than last for tlio use of their capital and the funds entrusted to them, with the result that the advances this year exceed those at September 30 of last year by £5,109,008, and the bills discounted arc less by £489,022. The business of each bank in advances and discounts is reported as follows: — ADVANCES. Sept., Sept., 1034. 1935. Bank. £ £ New Zealand 10,781.015 18.705,007 Union 5,077,310 5,758,150 New South Wales .. 4,843,409 5,-190.503 Australasia 3,810,007 4,154,201 National 7,333,000 8,507,001 Commercial 1,331,724 1,407,514 £30,213,521 £44,323,129 DISCOUNTS. 3 Sept., Sept., 1034. 1935. Bank. £ £ New Zealand 710.020 203,748 Union 43,777 50,813 New South Wales .. 6,801 0,700 Australasia 31,757 40,225 National 150,880 152,9-13 Commercial 13,082 11,090 £003,010 £474,59-1 The relationship between deposits (free and fixed) and advances (including bills discounted) discloses a decrease 011 those of September, 1934, of £3,418,014, but advances have risen on the year by £4,145,992. The deposits and advances as at September 30, over the past live years, compare as follows: — DEPOSITS AND ADVANCES. Excess Deposits. Advances. deposits. Sept. £ £ £ 1031 ... 50,771,217 50,033,557 •102,310 1932 ... 50,709,100 49,975,215 733,950 11133 ... 57,308,007 48,810,812 13,497,795 1034 ... <53,351,801 40,177.137 23,374,724 1035 ... 00,133,847 44,323,129 15,810,718 ♦Excess advances. Government deposits have been taken over by the Reserve Bank from the Bank of New Zealand, which was the Government's bank, and will account for the difference shown in the figures that follow: — GOVERNMENT DEPOSITS. Sept., Sept., 1934. 1035. Bank. £ £ New Zealand 1,533,707 451,005 Union * f - Commerclal •'* £1,533,887 £452,0-11 Trading banks' notes in circulation at the end of the September quarter of last vear were £4,005,555, and coin and bullion amounted to £3,158,348; at September 30 last they amounted to £007,844.