6 P.C. ITALIAN LOAN

Press, Volume CVII, Issue 31381, 29 May 1967, Page 3

6 P.C. ITALIAN LOAN

(N.Z. Press Assn.—Copyright) ROME, May 27. An interest rate of about 6 per cent is likely tc be charged by Italian banking interests on loan moneys made available for some of the work on the Tongariro power scheme. Officials at the New Zealand Embassy are negotiating for the loan, which will total several million pounds. Dr. Marino Berendsen, a spokesman for the Italian engineering consortium, CodelfaCogefar, which has won two contracts on the scheme worth £l7 million, said today that through a credit insurance scheme the Italian Gov-

ernment subsidised such loans. The interest rate was usually about 6 per cent. “The credit terms are being arranged with the co-opera-tion of the Italian Government," Dr. Berendsen said. The consortium hoped to begin work on the first of the two tunnelling contracts about the end of next month. It now intended to send from Italy about 100 workers. They would be flown out in groups aboard commercial aircraft late in June. ' “Most of them do not speak any English but some of the New Zealand employees we have taken on are starting to learn Italian. So we think that with the help of these people the Italian workers will soon pick up an adequate knowledge of your language. “By and large we have no problems as far as food and cooking the Italian way is concerned. We have sent out an Italian cook, as well as

project managers and supervisors.” Dr. Berendsen said the project was one of the biggest undertaken by either of the firms concerned but preparations had gone extremely smoothly. “The surveys carried out by the Government’s consultants, Alexander Gibb and Partners, have proved very good—clear and concise,” he said. The consortium was also grateful for the help and cooperation it had received from officials at the New Zealand Embassy in Rome when' making arrangements for the Italian work force to go to the Dominion.

The consortium planned to arrange a stand at the Wellington International Trade Fair in August to acquaint people with its operations. Cogefar has a yearly turnover of more than £2O million and Codelfa about £lO million.