THE THREE MILLION LOAN.

Hawke's Bay Tribune, Volume III, Issue 144, 3 June 1913, Page 6

THE THREE MILLION LOAN.

MR. ALLEN INTERVIEWED. Auckland. June 3. Discussing the financial operations Mr. Allen remarked that the three million loan was raised at a very bad time. He had no hesitation in saying that nobody, and no country could have done any better at that moment. The money market was not in a particularly disturbed state, but there was at the time a tremendous demand for money all over the world. The Balkan trouble had undoubtedly an effect on the market, but not to the extent people believe.

• -The T3JXXUXMJ loan was raised for 4 per cent, at 98. with a currency of 30 years or 50 years if we want it. The whole loan can therefore be redeemed by payment of £4 5 6 per cent, per annum in 50 years.”

"The amount available for public works is. I believe. £ 1.750.000 queried the pressman. Mr. Allen replied: "I think it is about £1,250.000, but more money has been raised since the £3.000.000 loan at a better rate. I have come back with definite proposals also to meet two large loans which fall due next year. I refer to the 4.1 million loan raised last year and to another loan maturing next year of about 3.1 millions. Both of these loans are per cent, loans. These arc the only two loans which we need worry about, all the others coming due within the next two years are 4 per cent, loans. I am not troubling I about them at all. I will admit that the two bigger ones mentioned may give some little concern, but that concern will disappear if New Zealand lives within her means, does not become extravagant —in fact keeps up its reputation on the London money market.

"The outlook generally is now very good indeed. I think the change of Government has made it brighter than ever it was." Speaking of money available for public works Mr. Allen declared there would be a substantial amount this year, sufficient to carry on our public works at as rapid a rate as that at which we are justified in carrying them on. but he added :-’Tf you ask if there ig plenty of money for public works, T must reply there is not plenty to play with.