BANK OF NEW ZEALAND.

Lyttelton Times, Volume LXI, Issue 7225, 26 April 1884, Page 5

BANK OF NEW ZEALAND.

[Per Press Association.] AUCKLAND, April 25. The half-yearly general meeting of pro- | prietors of the Bank of New Zealand was held to-day. The profits available for division amounted to .£88,405, from which the' usual dividend and bonus at the rate of 15 per cent per annum was declared, leaving .£13,403 to be carried forward to new account. The deposits and liabilities amounted to ,£9,853,790, showing an increase of .£1,233,921; advances, .£9,557,542, being an increase of £1,073,606. Coin and cash balances, money at short call, and Government securities, aggregated £2,412,394, an increase of nearly £160,000 over the same items for last half-year. In moving the adoption of the report, the Chairman (the Hon J. Williamson) said : Gentlemen, it is again my pleasant duty to submit for your approval' and opinion the report and balance-sheet, which have just been read. Notwithstanding the unfavourable influences (to which I will hereafter refer) under which business has been carried on during the six months, we are able to put before«you. a statement of profit which, though not proportionately as good as some which have preceded it, will, I am sure, be considered satisfactory. We are able to maintain our dividend and bonus and to carry forward the respectable balance of £13,405 0s 4d, with which to commence the new half year. Had we been intent on merely swelling our profit and loss account, it would have been a very easy matter to do so by raising our advance rates, but recognising the difficulties with which traders generally have had to contend, we have considered it better policy not to increase the rates beyond what affords a reasonable margin of profit, as we fully recognise that the prosperity of the Bank depends on that of its- customers, and in the existing condition of business, we do not consider the transactions will bear heavier rates than those now current. With a view to lower lending rates we would gladly have aided in the reduction of deposit rates, but have been forced to maintain them at the level of those current in Australia, where there has been considerable pressure for money, and there appears, at present, little prospect of any early relaxation. The figures in the balance-sheet present some noteworthy features. There is a slight contraction in circulation attributable to the general absence of activity in the retail trade of the Colony. Exchange transactions under the heading "Bills payable in circulation," show, as is customary at the corresponding season of the year, a considerable increase on the balance as exhibited in the last statement. There has been an increase of over a million in deposits and other liabilities, due in some measure to the operations of the Government account. The immediately available resources of the Bank, as calculated in the first five items on the credit side, continue ample for every requirement. Bills discounted, and other debts due to the Bank, show an increase about equivalent to that in deposits j and the landed property and Bank premises have been increased by £12,000, chiefly due to necessary alterations in the head office, and to putting up premises at Adelaide, where the Bank is now in operation, and with promising prospects. As far as the business of New Zealand is concerned, we are still contending with the result of past over-importing, our stocks, as a rule, being yet much too heavy, but the brake long since applied is fast telling, and it may reasonably be anticipated that importers will soon be relieved of the extra weight they have for some time been carrying. The prices of wool and wheat are exceptionally low, and, in addition, agriculturists have had a further disadvantage of a partially unpropitious season, which will render the general average of farming operations throughout the Colony unfavourable. As against these discouraging features, we notice the rapid development of the export trade in frozen meat, which is becoming an important factor in the transactions of the Colony, and we have the further establishment of numerous dairy factories which, in their operations, give fair promise of being a permanent benefit to farmers. A considerable amount of capital continues to flow to the Colony, our population is rapidly increasing, and full employment is obtainable for every class of labour, and at highly remunerative rates. Amid some discouragements, therefore, we are not without good grounds for having full faith in the future of the Colony. Seasons, which have now been persistently adverse for three years, are not likely to continue so. The staple products of the Colony, wool and wheat, have almost reached a price equivalent to the cost of production. Any change is likely to be for the better, and rofrigoration and dairy factories, it may reasonably be hoped, will materially enhance the income from land, and so increase its value, and the prosperity of its occupants. The general outlook at present suggests caution, and we are duly exercising it, but, at the same time, we are extending a liberal support to every deserving industry, confident that such continued policy will conduce to the best interests of both the Bank and its Valued customers. With theße remarks, I

beg to movo tho adoption of tho report and balance-shoot as read. .

The motion was secondod by Mr Samuel Browning, and carried new. con. Mr Joseph Howard moved, and the Rev Shirley Baker seconded, a vote of thanks to tho Directors, General Manager, and Staff, which tho Chairman acknowledged. Mr D. L. Murdoch, General Manager, Baitl tho best efforts of the staff would be directed to produce successful results, and although it would be most unreasonable to expect that the course of business of the Bank should bo an unbroken sunshino, yet ho had too great faith in the elasticity of tho Colony to beliovo that any depression from which wo are at present suffering can be more than temporary, all the more as it is distinctly traceable to special causes, as referred to in tho Chairinnn's speech, which wo may reasonably ex2>ect will soon pass away.