Financing Dominion in Wartime

Manawatu Times, Volume 68, Issue 207, 1 September 1943, Page 5

Financing Dominion in Wartime

HON. W. NASH’S INTERESTING SURVEY (Per Press Association.) OAMARU, Aug. SI. Speaking at Oamaru to-night, Hon. Walter Nash, Minister of Finance, stated that democracy had boon challenged in the world war, and whllo the Government accepted responsibility for holding tho election, it was good a* s democratic country to hold an election and there was no reason why the? should bo divided on the war effort. Hs paid tribute to Brltaln’a heroic atand lr -September, 1940, when she saved the world. Mr. Nash referred to the Dominion’s war effort in sending lighting man over seas and in increased production at home. There was every Justification tc feel proud of what New Zealand ‘a «on« and daughters had done, on the financial aide, this country had found £239,000,000 for the war alone, at the same time keeping up a high Standard of living. Since September, 1939. £88,000,000 had been raised in taxation, £123,000,000 in loans and £27,000,000 on lease loan. Britain had paid £29,000,000 on New Zealand’s account for training men overseas and on the air training echeme in Canada, bnt New Zealand had repaid £21,000,000, leaving only £8,000,000 still owing. When the Liberty Loan was over-subscribed, a further £4,000,000 was laid off. Since the Government took office, the oversea debt had been reduced by £114,000,000 so that they owed £7,000,000 overseas, including war costs, less than when the Government took office. If that was a test of good management of the country’s finances, then some credit wae due to the GovernB Mr Nash also relerred to the Government’s control of the currency end credit of this country, stating that £2,162,000 of profits of the Reservo Bank had been paid Into Government funds. The Reserve Bank had advanced £23,000,000 for the construction or houses. Loans had been granted lor 7789 houses, and while 369,000,000 feet of timber had been used in building hospitals and store* for the Americans, ho hoped the programme for the construction of 3600 house, would ho carried out during the next twelve months They had given educational facilities for children, building since 1986, 400 new schools, spending £4,000,000 on school ruildings, and were spending £26,000,000 on social service, against £11,000,000 in 1935.