PUBLIC DEBT INCREASED

Evening Post, Volume CXV, Issue 11, 14 January 1933, Page 14

PUBLIC DEBT INCREASED

EFFECT OF HIGH EXCHANGE

An of the great increase '. in the burden of Australia's overseas : debts through . the depreciation of her currency is afforded by details of interest payments made recently. During December interest payable in London oh Commonwealth and State loans and on local government loans amounted to £1,184,558; exchange on this sum was £302,062. Interest on a local government loan in New York "was £30,864 in . respect of which ■ exchange amounted to :£27,959. The total r interest bill for the month was increased through exchange additions by £330,021, or 27 per cent. . On 2nd January one of the heaviest interest payments of the year was made in London. On Commonwealth, State, and • local government loans interest amounting to £5,042,140 was due. The remittance of this sum from Australia cost £1,285,746. The next interest payment in New York is due on 15th January. It is the interest on the Commonwealth 5 per cent, gold bonds loan of 75,000,000 dollars., The halfyearly interest on this sum would be 1,875,000 dollars, or £385,802 at par; but owing to the present rate of exchange an additional sum. of £324,425 will have to be transmitted, making the total payment in New York £710,227. The weight of this debt has thus been increased by 84 per cent.