CITY COUNCIL LOANS

Press, Volume LXXI, Issue 21384, 29 January 1935, Page 8

CITY COUNCIL LOANS

# repayment period of TWENTY YEARS The period of consolidation of loans raised by the Christchurch City Council through the State Advances Department has been fixed at 20 years. The department's agreement with this course was announced Rt last night's meeting of the City Council. The finance committee of the council reported having received the following statement from the treasurer:— "I recently made application to the State Advances Office for a consolidation of the loans raised through that office, and suggested that the period might be made the same as our main conversion, namely, 20 years. The department advises that it is agreeable to make the term of the new securities to suit the council's requirements. "The debt subject to conversion is £38,631 15s lOd, and to meet the repayments and interest on this amount in 20 years, £1443 5s 9d half-yearly would be required, or for a 25-year period, £1261 17s Id half-yearly. To make the period the same as th®/ main conversion would mean an increase of £350 16s 8d a year, but taking into account the substantial reduction in charges under the mam scheme, I think that the 20-year period should be adopted." The committee recommended that this course should be followed, ana the council agreed.