REMOVING A DRAG

Evening Post, Volume CXIII, Issue 9, 12 January 1932, Page 11

REMOVING A DRAG

savingis ;bank funds

RELEASE IN N.S.W.

(By Telegraph.) " ; (Special to "The Evening Post.") AUCKLAND, 11th January. The financial position of Australia is expected to experience considerable re-' lief oa Thursday, when the L Commonwealth Bank intends to release the balance of the deposits which' have been locked up since the "New South Wales Government- Savings Bank closed its doors in April of last year.- ' ' . Commenting on rthe position;-Major Ji B. Shand, Nationalist member of the Legislative Assembly of. New South Wales for;the Hbrnsby. division,..who arrived by'the Aorangi : from Sydney, said- that when.,it was realised, that £56,000,000 in deposits had been locked up for nearly a year it would be readily appreciated that the release of such financial resources must furnish an avenue for considerable expenditure. "It should,?' ho said^ "put new heart into tho people to embark in confidence in new investments-. "In December the Commonwealth Bank, which has_ now definitely absorbed the Government Savings Bank, allowed depositors to withdraw 10 per cent, of their holdings. The entire balance," said Mayor Shand, "would be released on Thursday, thus bringing to a close one of the most .astonishing phases of Australian financial history. "If it were not for the powerful entrenchment of the Lang Government in New South Wales, the . people of Australia could regard the present state of the country with the utmost satisfacion," said Major Shand. As an instance of tho ineptitude of that Government, he stated that whereas the Bavin Government, with an unemployment tax of 3d in the £, had planned an expenditure of £2,100,000 on relief works, the Lang Government, with, a tax of Is in the £, was making provision for an expenditure on relief works of only £1,100,000. The balance of money raised was employed as a form of dole. BUOYANT PEELING. "But there is a brighter outlook for this year," he added. "The elections have demonstrated the spirit of the people, and a much more buoyant feeling has been created as a result of improved prices for. staplo products such as wool and wheat." Wool had improved about 5 per cent, on December rates. Moreover, the exchange on London was considerably aiding Australian producers. The only disappointment was in connection with frozen lamb. Prices, indeed, -had slumped so. badly - that ono large exporting company in Melbourne had becu obliged to close down. Major. Shand is visiting the Dominion to investigate the possibility of improving the market for Australian citrus fruits. His constituency comprises the hills district of Windsor, which supplies Sydney with the bulk of its fruit, and tho surplus is exported. - s ■ Speaking of the Mumnhbidgee irrigation scheme, he said that the'Govcrnment of Now South Wales had spent no less than £13,000,000 on tho plan. The area was wonderfully fertile, but there had. been severe setbacks from which the district was steadily recovering, and considerable help was -expected from" the Government in tiie way of remitting .portions of the heavy cost of land.