CREDIT BY BANKS
Total limits drop s23m
Bank advances and total credit limits showed a nonseasonal drop in January in line with Government directives, according to the research director of the New Zealand Bankers’ Association.
Advances at the end ot January were ssm lower at s6som, and total credit limits were s23m lower at $955m. In January last yeat advances rose slsm and in January, 1969, s9m. Despite the fall in advances, pressure on bank lending continues, with particular severity in the lowertier category. The tax drain means that banks face an additional problem of liquidity over the next two months, which is independent of the rigid ceilings on bank borrowing imposed by Government policy. In addition to constraint on new lending, customers are being required to keep strictly within their present limits.
Interest-bearing deposits continued their rise to reach $377m, up sl3m, while private savings bank deposits were steady at $363m. Bank's investments in securities rose s23m to sl9Bm, most of it in Treasury bills.
Permanent link to this item
https://paperspast.natlib.govt.nz/newspapers/CHP19710220.2.181.10
Bibliographic details
Press, Volume CXI, Issue 32536, 20 February 1971, Page 20
Word Count
166CREDIT BY BANKS Press, Volume CXI, Issue 32536, 20 February 1971, Page 20
Using This Item
Stuff Ltd is the copyright owner for the Press. You can reproduce in-copyright material from this newspaper for non-commercial use under a Creative Commons BY-NC-SA 3.0 New Zealand licence. This newspaper is not available for commercial use without the consent of Stuff Ltd. For advice on reproduction of out-of-copyright material from this newspaper, please refer to the Copyright guide.
Acknowledgements
This newspaper was digitised in partnership with Christchurch City Libraries.
Log in