THE BANK OF NEW ZEALAND.

Lake Wakatip Mail, Issue 1069, 16 May 1878, Page 3

THE BANK OF NEW ZEALAND.

The proceedings of every company established for trading or productive industry are important, not alone to the shareholders, but to the public. While the former are chiefly concerned with the question of dividends, the good or ill success of the investment upon the community is of general interest. Especially is this the case with our banking institutions. While other companies are local, they are Colonial in their power for good. Shareholders, depositors, and traders are alike interested in knowing how far banks are able to fulfil the duties of returning a good percentage on the capital invested, good security to depositors, and foster commerce. It is, therefore, great satisfaction to find on examination of the balance-sheet of the Bank of New Zealand that it gives evidence of a sound and healthy industrial condition of the Colony, of immense expansion of our trade, and of the accumulation of capital. The shareholders primarily must be abundantly satisfied. The last half year's profits amounted to more than 11 per cent, upon the paid up capital, or, avoiding fractions, it may be fairly .stated at the rate of 23 per cent, for the year. Only two years ago the aggregate Erofits of the half-year were .£58,440, now they ave reached £82,567 ; while the reserve fund, two years since standing at £IBO,OOO, has increased to £325,000. This result is the more gratifying because it does not arise from the Bank having had the use of any extraordinary amount of deposits, for the public loans of which the Rank was the depository are almost, if not entirely, exhausted. Yet reference to the balance-sheet shows that—continuing our comparison with two years back—while then the deposits amounted to £5,249,109, they are now £6.800,070, and while the coin and bullion were then £906,326, they are now £1,425,714. We may be pardoned pointing with some pride to the rapid progress of this institution, indicative as it is of the equally rapid development of the resources of the Colony. A contemporary says ; —" For the first time in the history of New Zealand, the total operations for the halfyear are represented by eight figures, and it is a noteworthy fact that only one other Bank in the whole of the Australasian Colonies has yet been able to reach tens of millions, and that one a Bank which has its balance-sheet swelled by vast Government deposits." Devoid of this extraneous help to the sinus represented on each side of the balance-sheet, the vast amounts passing this bank point unuiistakeably to the fact that, while capital is increasing in private hands, as shown by the deposits, the means for its employment are developed in proportion.—Evening Star.