DOMINION FINANCES

Grey River Argus, 22 April 1929, Page 5

DOMINION FINANCES

PREMIER’S STATEMENT. WELLINGTON, April 19. The Prime Minister, in announcing a deficit of £550,000 on last year, said it was due mainly to ® shortage in Customs and income tax, which were £302,000 and £89,000 respectively below the estimates. With regard to expenditure, a saving in departmental votes had been effected since he came into office. Under special Aets, however, an item of £156,000 on account of advance Interest payments on loans in January last had to be met. The expenditure for old age, widows, and soldiers’ pensions had exceeded the estimate.

The Public Works Department, he said, was responsible for carrying our the bulk of the works under construction, and, though the construction was sound and was carried out in an efficient manner, from the point of financial control the present system was undoubtedly weak. To obtain greater control in the expenditure of loan moneys and to have the results systematically reviewed from the financial viewpoint, Sir Joseph Ward said he had decided to introduce the following reforms next season: —Amend th- form of the Public Work Estimates by adding three additional columns to show the estimated total cost of each work when authorised, the total expenditure on each Work to the end of the last complete financial year, the estimated amount required to complete the work. It was also the intention that Public Works Estimates prepared on those lines in the future should be sent to the Treasury before being finalised in order that they might be investigated and reviewed by a departmental committee in the same way as was done with the Consolidated Fund Esimates at present. The figures showed that the present banking position was very sound, said Sir Joseph Ward, and ample credit was available for financing trade.

In matters of trade there was an excess of exports over imports of tfi/e exports beingf £57,154,343 and the imports £45,105,865 —a total of £102,260,208. New Zealand’s trade recovery had been remarkable. The British Empire had taken mpproxi--84 per cent., and foreign countries 16 per cent, of the exports. The corresponding figures for imports were:— British Empire 68 per cent., foreign 31 per cent. Sir Joseph Ward predicted a perios of returning prosperity in which all producers were likely to share, and he stated that he considered New Zealand had reached a period of stability. He looked forward to the future with confidence. t