OUTLOOK BRIGHTER

Manawatu Standard, Volume LIII, Issue 50, 26 January 1933, Page 8

OUTLOOK BRIGHTER

CONDITIONS IN AUSTRALIA

“There is undoubtedly considerable improvement in the outlook generally throughout Australia,” said Mr F. I'. Mcßrvde, assistant general manager of the »A.M.P. Society when interviewed in Wellington a few days ago. ‘ 1 know this from personal experience m New South Wales,”, .Mr Alcßnyde said, “and when I visited Victoria, South Australia and West Australia recently’, the reports on future prospects were much better than I anticipated. Confidence in the future, is largely displayed, but this cannot be maintained unless the Premiers’ plan is strictly adhered to; any departure from its terms would undoubtedly be a backward step, and lead to trouble for the Commonwealth. We have had bounteous harvests, and the seasons have been good for pastoral and other industries, but although costs of production have been reduced, we must have an improvement in prices all round for wool, wheat and dairy produce before we can return to real prosperity. “If the Federal and State Governments carry out the Premiers’ plan effectively, and make the balancing of the budget a first consideration, I feel we should have no doubts as regards the future. The failure of the recent loan was due solely to the low rate of interest, which, should have been, no less than 4 per cent.” “Judging by the society’s experience in Australia and New Zealand, 1 should say that the former is in the better position,” Mr Mcßryde said. “Our new business for 1932 has increased by more than 25 per cent, in Australia, as compared with 1931, whereas in New Zealand business is slightly less. We anticipate a still further improvement in the society’s business during the current year, and at the same time , a general improvement in the position of both the Commonwealth and New Zealand. . . “There is too much pessimism m New Zealand at present, and we should all join the sane optimistic brigade, as prosperity is largely a question of confidence in ourselves and our bust“As regards the financial position, I may say that with the improvement in the market value of our securities much above tbe book value, the large special reserves and tlie low rate at which we value our policy liabilities, the society’s position has never been so impregnable as at present.