DOMINION’S LOANS

Manawatu Standard, Volume LII, Issue 204, 29 July 1932, Page 6

DOMINION’S LOANS

VISIT TO LONDON. STATE FINANCIAL HEADS. WELLINGTON, July 29. Confirmation of the statement mat it might be desirable to send the .Minister of Finance, Hon. M. Down,,. Stewart, and the secretary to the Treasury, Mr A. D. Park, to London after the Ottawa Conference was given by the Prime Minister, Rt. Hon. G. \\ . Forbes, in reply to a question on the P °Mr it had to be fully understood that everything would depend upon what advance was made at Ottawa, for it might be found that everything New Zealand wished to do in the way of negotiations with British Government officials concerning financial questions ooujd be achieved at Ottawa, especially in view of the presence there of the Chancellor of the Exchequer, Mr Neville ChamberDiscussing yesterday’s cable from Ottawa, stating that Mr Coates considered Britain’s successful conversion of the £2.000.000,000 war loan may have an important bearing on New Zealand’s external interest charges. Mr Forbes s*id it had to be pointed out that only £11,100,000 of the Dominion’s funded debt of over £2i 000 000 was affected by this conversion The New Zealand Government had intended to discuss with tho Imperial authorities the question of reducing interest on this £11,100,000 once the success of the conversion scheme was assured. As the scheme had gono so well, Mr Coates had apparently raised the question, although the New Zealand Government had received no direct communication from the delgation on the point. It might be possible that full discussions on the question of reducing interest on this section of the funded debt could be carried out between representatives of the Imperial and .Dominion Governments before they left Ottawa. However, any consideration of reductions of interest on any other part of New Zealand s overseas debt was an entirely different question, and would be subject to separate negotiations. . No specific consideration had been given by the Government to the sending of cither Mr Stewart or Mr Park to London after Ottawa for the purpose of establishing personal contact with British financial authorities. Mr Forbes said, and although it might be desirable to follow this course, there were difficulties in the wqy, the most important being the fact that Parliament would be meeting about the middle of September, and that the presence in New Zealand of both the Minister of Finance and'Customs and the Secretary to the Treasury would be necessary. Coming fresh from the Ottawa Conference, Mr Stewart’s services in New Zealand during next session would be indispensable, for he was concerning himself mainly with currency and allied questions at'Ottawa, and if legislation were required next session to give effect to any decisions reached at the Imperial Conference, he would be required to handle Bills brought down. Mr Park also would be needed

here. . . On the other hand, if it proved really necessary for Mr Stewart and Mr Park, or one of them, to go to London, the Government might be prepared to consider the postponement of the session for a short time to enable the London trip to he made.