BANKING RETURNS
UNSATISFACTORY SITUATION DISCLOSED
[Per United Press Association.]
WELLINGTON, January 12
The banking returns for the quarter are not regarded as satisfactory. There is a shrinkage in deposits, while advances have increased substantially. Note circulation shows an appreciable contraction, indicating lessened purchasing power. If the demand on the banks continues it is expected that rates for money may harden, but care and economy can set the position right. The deposits show a decrease of £3,107,007. The Commercial Bank alone shows a slight increase. Advances have increased by £2,769,369, the Bank of Australasia being the only one to show a small decrease. Note circulation was £189,970 less, which, taken with the fall in free deposits of £2,058.450, indicates that the purchasing power of the community, as compared with twelve months ago, is
£2,248,420 less. There is, however, a tendency for imports to shrink, which, if continued, should soon restore the balance of trade.
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Bibliographic details
Evening Star, Issue 19454, 12 January 1927, Page 6
Word Count
153BANKING RETURNS Evening Star, Issue 19454, 12 January 1927, Page 6
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