REDUCTION OF BANK RATES

Evening Star, Issue 19843, 17 April 1928, Page 1

REDUCTION OF BANK RATES

j ACTION AWAITED l That the time has come for a reduction of the hank rates of exchange and interest was the opinion expressed at the meeting of the Council of the Dunedin Chamber of Commerce last night, ll the banks do not take action shortly the chamber intends to commence an agitation for a reduction. The following motion from the Canterbury Chamber of Commerce was reccived’-—“ That this chamber approach the chairman of iTio associated banks with a request that, as the adverse coarse of the trade of the dominion had neon checked, the banks favourably consider the reclpction of their overdraft rates to those in force prior to May 9 last, and that all New Zealand chambers be notified of the action taken by this chamber.’’ The Auckland Chamber wrote that it had considered the motion, and had decided that immediately banking statistics showed a return to normality the bank fates of exchange and interest existing over eleven months ago should be restored. The Chairman (xMr J. Taylor) said that the executive had decided to take no action until the yearly banking returns were published. The returns now had been released, and they were so satisfactory that if the banks did not reduce their rates shortly the chamber would follow up the agitation. Mr F. Tyson: The position must have improved very much, as the rate of exchange is £ per cent., which is a pretty solid charge. A Member; What are the hank rates of overdraft? Mr Taylor: Seven to 7.J per cent. The council decided to hold the matter over to await action by the banks.