RURAL CREDITS

Evening Star, Issue 19632, 11 August 1927, Page 2

RURAL CREDITS

FARMER HEEDS HELP SIR JOSEPH WARD'S CPIKI3.H [From Our Parliamentary .JlEfpßm:.] WELLINGTON, August 10. “I am fight out to' help jural credits,” declared Sir , Joseph Wk™ (Invercargil), as. a preliminary to tli*» discussion on the difficulties of farmers’ finance in the course of tlio Financial Debate to-night. The State Advances office, ho pointed out, had advanced fifty-three millions, and had done wonderfully good work, but wo wore not getting enough money in Now Zealand to meet the requirements of its settlors. It could not bo got from tho banks unless they were to reduce the amount available for tin, country’s commerce, so they must go outside the banks. “ At one time 1 believed in a State Bank,” continued Sir Joseph AVard. “The mistake was made when this country did not take over _tho Bank of New Zealand when it was in trouble, Yon would then have had one bank, owned by tho country ; but there should have been one requirement—that it be cut off completely from the Government and Parliament. The directors should have been independent of Government.” The member for Invercargill declared that ho was positive that agricultural banks, conducted on right lines, would bo advantageous. Answering an interjector, ho declined to commit himself to appioval of a State guarantee until he knew the terms of the Government measure. Another important aspect of fanners’ finance was tho valuation of land. There should bo a permanent valuation board moving around the dominion, investigating mortgages. There were numerous second mortgages, and some went up to eight, and people wove holding on to these seconcf mortgages, vainly hoping that tho State would help them. The sooner they realised that this would never bo done the better. Mr A. Hamilton: “They get rid of them by selling up.” Sir Joseph Ward: “Farms are very difficult to sell, but these mortgagees think they are going to get out at the expense of tho State.”