BANKING SYSTEM
AUSTRALIAN INQUIRY. NATIONALISATION REJECTED. facilities for loans. (United Press Association.—By Electric Telegraph.—Copyright.) Received July 20, 10.50 a.lll.
SYDNEY, July 19. The report of the Royal Commission 011 the Australian banking and monetary systems on which evidence was heard last year, was issued tonight. It recommends that no change be made in the existing banking systems in Australia, while with one dissentient the nationalisation of hanking is rejected. The Commission suggests that legislative provision should be made for fixed and long-term lending and recommends that a mortgage bank or banks should provide tacilities for lending on land and improvements in country districts. The Commission is of the opinion that better provision is necessary for financing small concerns engaged in secondary industries. It suggests that the Government, with the assistance of the Commonwealth Bank, should investigate this problem. The Commission recommends that a system of decimal coinage should be introduced based upon the division of tlie Australian pound into thousandths parts. The Commission, in a majority decision, states that the most desirable banking system in the present circumstances is one which includes privately owned trading banks. The system contemplated is one in which a I strong central bank regulates the volume of credit and pays some attention to its distribution, and the distribution of credit is left to the privately-owned rading hanks, working for a profit but regulated in tlie manner indicated in the Commission’s report. The Central Bank should he the Commonwealth Bank organised mainly in the form in which it now exists.
The Acting-Prime Minister (Dr Earle Page) who made available the summary of the Commission recommendations, said that the Government had decided to adopt forthwith the recommendations for the provision of facilities for lending money on land and improvements, especially in country districts, and for the investigation of a provision for financing' small concerns engaged in secondary industries. _
Permanent link to this item
https://paperspast.natlib.govt.nz/newspapers/MS19370720.2.84
Bibliographic details
Manawatu Standard, Volume LVII, Issue 196, 20 July 1937, Page 9
Word Count
311BANKING SYSTEM Manawatu Standard, Volume LVII, Issue 196, 20 July 1937, Page 9
Using This Item
Stuff Ltd is the copyright owner for the Manawatu Standard. You can reproduce in-copyright material from this newspaper for non-commercial use under a Creative Commons BY-NC-SA 3.0 New Zealand licence. This newspaper is not available for commercial use without the consent of Stuff Ltd. For advice on reproduction of out-of-copyright material from this newspaper, please refer to the Copyright guide.