THE BANKING RETURNS.

Evening Post, Volume LXX, Issue 16, 19 July 1905, Page 6

THE BANKIN G RETURNS.

The statements of tho average assets and liabilities for the second quarter of year of the several Banks operating within the colony are now available, and an analysis of the figures shows movements of interest, which indicate a continuance of prosperity to the community. The liabilities amount to £22,603,963, and the assets to £21,660,055, the excess of liabilities being £943,908, as compared with £470,534 a year ago. The comparison for the June quarter of a series of years shows as under: —

The assets and liabilities of each Bank for the past quarter are as under : —

Passing nest to the free deposits or current account balances, there is disclosed a decrease of £111,998, while in June of last year the movement was the other way, with an increase of £644,118. (The fixed deposits, on tha other hand, chow the substantial increase of £553,209, as compared with tho moderate increase of £60,920 at tho corresponding period of last year. I'ro-m this it would seem that; advantage was taken of the advance in deposit rates to convert free deposits into fixed deposits. The position of the two classes of deposits for the June quarter of I four years chows as under : —

All the Banks shared in the increase of the fixed deposits, the Bank of New Zealand accounting for £216,938, the Union Bank for £140,650, tho Bank of New South Wales for £71,444, the Bank of Australasia for £7769, and the National Bank for £116,408. Reviewing next tho advances and discounts, it is to be noted that there is an increase of £836,179 in the advances as compared with £1,015,740 at the corresponding date of last year, while the discounL3 are larger by £49,696, as against £214,904 in June 1904. The movements of the advances and discounts for the June quarter of four years are disclosed in the table appended : —

Farmers and traders alike appear to have had less reason to apply to the Banks for accommodation during the past quarter than in the corresponding quarter of last year, and that in itself is evidence of the economic welfare of tho community. The table apponded indicates the movements of the advances as they affect each Bank : —

The excess of deposits both fixed and ■' free over advances and discounts combined J show as under for a series of years : — J

In four years the deposits have increased by £3,460,177, and the- advances and discounts by £3,288,610. The nute circulation, which is tho best barometer of the state of internal trade, makes a favourable showing. The figures for the Juno quarter of five years compare as under: —

Since 1902 there has been steady expansion, and the figures for the past quarter are the highest at tho period quoted. This rather tends to refute tho statements of some people that money is scarce. The Banks havo been augmenting their metal reserve for" some time past, and the figures now eland at just over four millions sterling. Taking the June quarter of five years tlio position is as under:

.the metal reserve of each Bank for the June quarter compared with the figures for the corresponding quarter of last year aro as under : —

Bank. June, 'os. Juno, 'o4, In°«»Be* ' , ' Dooroftsef £ £ £ New Zealand 1,644,388 1,410,G53 230,705* Union ... 537,782 6C0,11i2 122.350+ N.S. Wales... G30.U2 087,177 7,065f Australasia ... 404 86* 443,962 50.098f National ... 733.J52 G62.842 70,610* ;C4,000,09S 3.867,820 132,772*

A general view of the .situation shows that tho increase in the deposits is smaller than that disclosed a year ago, but the advances and discounts arc smaller, tho note circulation is larger, and there is a substantial increase in the metal reserve. How, in tho face of such figures, the retad lera can complain of slackness of trade and tiglrtness of money is difficult to understand. Tho banking figure* are distinctly ' satisfactory, nioro so trt<ir. they were v. year ago, and they eleMiy radicate that there has been no break in the prosperity of tho country, while o*ior statiatics show that the prospects for the next twelve mouths are of the most-prom- • -ieißg. character.

Juiio 30. JflOl 1002 1003 MO4 1905 £ 3,0RG.152 3.1G0.711 3,598,245 3,867.82(5 4,000.5U8

'tiim 30. 1001 3902 IUO3 3901 1905 1,416.437 - 1,403,436 1,501,247 1,519.785 1,521,559

Advances Deposit?. apcl Excess of Discounts, Deposits. Jnne 30. £ £ £ 1901 ... 15,4'J2,681 12.037,601 3,395,020 1902 ... 10,187,491 12,831,289 3,356 202 1903 ... 17,74(5,608 13,210 352 4,536,256 1901 ... 18.451,647 14,440.990 4,010,651 1905 ... 18,fe92,85S 15,326,271 3,500,587

Bank. June, '05. June, '04. Increase Now Zealand... 4,091.339 4,192 010 409 329 Union 1,933,375 1,8G5,<M4 127 731 N.S. Wales ... 2,203,303 2,102.465 4Q,BW Australasia ... 2,336,393 2 11)5,505 138 828 National ... 1,993.G:31 1,904,107 29.45* £13,218.030 12,381.851 8§6,179

Jnue 30 1902 J903 1901 1905 Advances. Dißconnta. ... 11,013,082 1,818,207 ... U. 300,111 1,844.241 ... 12,381,851 2,059, H5 ... 13,218.030 2,108,841

Jane 30. 1902 1003 190 V 1905 luxcd Deposits. £ ... 8,12.J,773 ... 8,8Q9,<>64 ... 8,80y,98'l ... 9,423,193 Freo Deposits. £ 7,763,718 8,5/37,545 9,581, CCS 9 469,6(!5

Bank. New Zealand Unioji N.S. Wales Austi-alusiu National ... Assets. ... 8,651.120 ... 2,940,472 ... 3,719,450 ... 3,123.474 ... 3,225,539 £2l,WQfiss Liabilities. £ 11.60G.083 ' 2,919,810 3,052,209 1,843,182 3.182,679 .£22,603,903

Jane 30. 1901 1902 I!)(i3 1004 ' 1805 AfeSOtS. £ ... 18,380,972 ... 30.075,602 ... 19,710,4 d« ... 20,721,413 ... 21,600,055 Liabilities. £ 17,8!14,385 18.C93.498 21,054,701 21,191,947 21,603,983