BANK OF NEW ZEALAND

Hokitika Guardian, 19 June 1931, Page 5

BANK OF NEW ZEALAND

In the course of his' remarks at the annual meeting of the Bank of New Zealand at .Wellington to-day the Chairman („Vlr Watson) said: —We are' all proud of the position .to which the .Bank has attained —the shareholders as well as the directors and staff—and 1 believe that the vast, majority of the people of the Dominion are pleased to have an institution of such strength and. usefulness, but sometimes—perhaps ordained in order that we may walk humbly—irresponsible critics air what they believe to be their wisdom by talking or writing against us.. The circumstances of the present recession in the prices overseas of our primary products, and also in our internal trade, are so well known that I need not dwell on them. To achieve greater prosperity must be the practical (endeavour of everyone in the Dominion, considering well how we compare with other countries. His 'Excellency, Lord ißledisloe, from his expert knowledge of scientific methods in Eut'ope, has publicly adduced what should be done to advance the agricultural and pastoral interests here, and the labours of the Cawthron Institute, the Massey and the Lincoln Agricultural Colleges, and the Department of Scientific and Industrial (Research, add their important services. Of land improvement there is much need. In disposing of bush lands in the past, not enough care was taken by Government to see that purchasers or tenants ownetl sufficient money, or could obtain sufficient credit to develop their holdings; in .many cases rent had to be paid on large' areas while the holder# had not the means to bring more than small portmns into grass, and, being unable to farm the clearings properly, had to allow them to relapse into fern and second growth. Even rich flat lands were cropped and grazed for many years without sufficient application of fertilisers, until it Was found that the soils were exhausted by continual cropping, and the best .grasses in the pastures were eliminated. Of late years manuring and liming have been practised to greater extent, especially on dairy lands', but much more is necessary to obtain the best .results from sheep and cattle country. .

The land being' the basis ar.d source of welfare in the Dominion,'it is to the interest of everyone that the best should be made of- it. But for ’ft''there would •be little to do for any of 'us. The Government recognises the importance of retrieving the productiveness of abandoned farms, and are doing something , in that direction both to 'improve the land and to afford employment, but without further borrowing their efforts must needs be limited. Owing to the low prices ' for last season’s output, many farmers have not the wherewithal to acquire the fertilisers necessary to improve and maintain the quality of their soils, and it rests with bankers, stock and station agents, and mortgagees 'to help them. This Bank is' straining Its its own customwWorrbthepurpose. In comparison with the years before the War, farming costs are so high that they, combined with the reduced prices, prevent the majority of farmers from carrying out their operations profitably, but there is hope that conditions will soon arise which will bring about a favourable change.

There has been very little demand for land, either urban, suburban, or rural, and indications are that sales can only be effected on what will be the future bases of values. For many years warnings have been given from this chair as .to land values being Inflated beyond all reason, but little attention was paid thereto. No doubt most of you here present know the facts and happenings just stated quite as weli as the Board does, but we would remind you that many of our shareholders reside in Great Britain and elsewhere, and that they expect to be told about matters of importance affecting their investment, . The period of recovery from the existing depression will no doubt be slow and full of hardships, yet that there will be recovery, though not perhaps to the standard of recent years, may in the light of past experience be confidently counted on. Even middle-aged people have seen or read of several depressions in various countries, and have known of their passing away to pe succeeded by periods of confidence and prosperity. The earth and the seas are bounteous, and the affairs of men in any free country are in their own hands to make or mar. Perhaps it will occur to all of you here that better might have been done in the past by the people of Australia and New Zealand for themselves and their descendants. By vsi»Gi action and living within national means, better -times will assuredly come, and the sooner the action the sooner the result.

(By Telegraph—Per Press Association) WELLINGTON, June 19. At the annual meeting of the Bank of New Zealand held to-day, a hearty vote of thanks was passed to the Directors, General Manager and staff, on the motion of Mr A. E. Mabin. WELLINGTON, June 19. Mr Mabin said the world was going through a very strenuous time. Everything seemed to have gone away and the highest economists in the world had not been aiole to find the cause thereof, hut all were looking for a silver lining or a streak of light which would come to the rather harrassed world. The laws of economics worked very slowly but surely, and everyone would emerge far wiser but possibly poorer men. In times' such as the present it was far more necessary and right that shareholders should pass a vote of thanks to the staff for the ser-

vices. Tributing Mr Watson;' Mr Mabiri said his long years and experience- in banking finance- and what might be. termed solid? arid determined character, also his plose association with the affairs of the Dominion in the past, when a crisis had occurred, would be of. very great service to the Bank at the; present time, and he would have [ a very valuable coadjutor in Sir j. .. v.. ■ ' •, The Chairman" and .Sir <T. Buckleton I replied arid 'the meeting concluded.