The Northern Advocate SATURDAY, SEPT. 22, 1906. ADVANCES TO SETTLERS.

Northern Advocate, 22 September 1906, Page 2

The Northern Advocate SATURDAY, SEPT. 22, 1906. ADVANCES TO SETTLERS.

From the twelfth annual report and balance-sheet of the superintendent of the Government Advances to Settlers Office, it appears that this important branch of State activity is in a sound and flourishing condition. The number of applications for loans was the largest since 1897, while the aggregate amount applied for was the largest on record. It realised nearly a million sterling. The sum advanced during the year was £633,452 13s 6d, the average amount being £371. Since the inception, of the system advances totalling close on six millions have been authorised, the securities on the net sum of £4,922,630 actually lent being valued at nearly eleven millions. The Wellington district has had the lion's share (nearly a million and a half), Auckland and Otago coming close together (with £1,153,000 and £1,148,000) and Taranaki not far behind. Only £382,---960 lias been advanced in Canterbury. It should be stated, however, that these figures relate to the amount of advances authorised, not to the net sum actually advanced, a certain proportion of the grants offered having been declined by the applicants. Eighty per cent, of the loans granted last year did not exceed £500 — a fact which warrants the superintendent in remarking that "it is the small pioneer settlers who are receiving the greatest benefits by the Act, and the special design for which the Act was designed is being effected." The net profits of the department during the year amounted to over £34,000, notwithstanding additional expenses, and the cost of management was only 2s 7d per £100 on the capital employed. In no case since the start of the system has the department made a loss on any security which it has been necessary to realise, while in most cases good surpluses have been obtained and refunded. The borrowers made their payments regularly ; and, in short, the history and present condition of the department reflect credit upon all concerned, and show that the establishment of the Advances to Settlers policy was a happy and beneficent idea.