BANK OF NEW SOUTH WALES

Hawera Star, Volume L, 1 December 1930, Page 5

BANK OF NEW SOUTH WALES

DECREASED PROFIT FOR. YEAR

(United Frees Association —By Electric TelegrapU Copyright). SYDNEY, Nov. 28. The Bank of New South Wales’ net profit for the. past year was £734,699, or £260,126 less than in the previous year. A dividend at the rate of 10 per cent, was paid for the first three-quarters and 0 per cent, in the fourth, absorbing in all £731,250, while £166,928 was carried forward. The president, Mr. T) Buckland, in the course of his address at the annual meeting, denied that the banks were “pegging’’ the exchange rates at a point above the true level of the Australian pound. He said that the rates quoted by the banks were those at which the banks were prepared to do business. It seemed to be generally overlooked by those who asked for higher rates of exchange that every additional one per cent, of discount to which’ the Australian pound dropped involved additipnal taxation in Australia amounting to £360,000 annualy. This was the added exchange cost' to the Australian Governments i off providing interest in sterling on loans. '■Air. Buckland declared that as a result of procrastination on the part of the legislatures to face the position confronting Australia the economic position was rapidly becoming worse. On the other hand, the present serious trouble could have been avoided bv cutting costs 10 to 20 per cent., and possibly Avithin a period of three to five years the Commonwealth would have emerged from the depression.