N.Z. LOAN

Hawera Star, Volume XLV, 8 May 1925, Page 5

N.Z. LOAN

FOR RAILWAY REQUIREMENTS.

PREMATURE ANNOUNCEMENT

NO OFFICIAL INFORMATION

((By Telegraph.—Special to Star.) WELLINGTON, May 7.

The acting-Minister for Finance, Sir Francis Bell, is unable to discuss the reported intentions of the Government in regard to loan flotation, and apparently the matter has been made public prematurely, as the terms and conditions are not quite fixed.

Last session there was an extension of the Public Works loan authorisations which included provision for railway improvements. Although no official confirmation cam be obtained until the prospectus is issued, it is assumed that the money ie required for railway extension, and particularly for improvements to open lines. The .schedule of the eight years’ programme of railway improvements passed by Parliament involves an expenditure of nearly £1,000,000 in the first year, £1.118,000 in the second year, and the total during the eight years of £8,000,000. The Government has also heavy commitments under the Arapnni hydroelectric scheme, the contract price being £1,175,000, this being well under way.

The last loan raised was . for purposes of the State Advances, and it is assumed that these requirements have now been substantially met. TO BE UNDERWRITTEN TO-DAY. HV C‘BT.E--PRESS ASSOCIATION—COPYRIGHT. (Received May 8. 8.50 a.m.) LONDON, May 7. The New Zealand loan of £7,000.000. 4-J per cent, at £94 10s, 'will be underwritten on Friday.—A. and N.Z. Assn. FURTHER PARTICULARS. LONDON. Mav 7. The Financial Times states that it is understood that the New Zealand loan will be issued at 95, redeemable in twenty years. The paper comments that the offer might have been made at a more opportune moment, but the stock is full trustee security and New Zealand generally manages to obtain a high nrice for her loans owing to her exeeßent. credit.