LOAN PROSPECTS
Failure of Dominion Issue
WARNING TO AUSTRALIA
Bv Telegraph—Press Assu. —Copyright. London, April 10. The “Statist” says that while tbe Dominions’ stocks continue firm, the prospect for fresh borrowing is not hojieful. Sir Arthur Samuel, former Conservative Minister, told an interviewer that the failure of the New Zealand loan ought to be a warning to Australia. “New Zealand loans are popular in Britain, yet the dislike for Australian loans has shut the door on New Zealand. It is doubtful whether any considerable amount of new money was subscribed. The portion of the loan taken up is probably explained by investors exchanging old loan for new. The underwriters were forced to find one and a half millions sterling to assist New Zealand to repay the four million shortly due for repayment. The position indicates that Australia will not get any new money when thirteen millions fall due in November, and may be obliged to hypothecate certain Customs to the service oE the new loan.”
A prominent stockbroker disagreed with Sir Arthur Samuel, pointing out that the failure of tbe New Zealand loan was partly due to market, difficulties following Continental liquidations arising out of the Kreuger crash.
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Bibliographic details
Dominion, Volume 25, Issue 168, 12 April 1932, Page 8
Word Count
198LOAN PROSPECTS Dominion, Volume 25, Issue 168, 12 April 1932, Page 8
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