THE CONTINUOUS LOAN.

New Zealand Herald, Volume LVI, Issue 17144, 25 April 1919, Page 6

THE CONTINUOUS LOAN.

BRITISH WAR BOND ISSUES. The polity of continuous borrowing instead of issuing loans at consdorablo intervals, initiated in Britain by Mr. Bonar Law, lu.s mot with very great success, the actual amount realised by the sale of war bonds between October 1, 1917, and January 18, 1919, being £1,645,337,734, representing an average weekly sale of nearly 24J millions during the 68 weeks of the issue. Of Iho total, subscriptions for the Bank of England issue were £1,588.- ' 362,494, leaving tales through tho Post (Jllice at £56.985.210. Beyond this, however, there have been sales of war savings certificates aggregating 287,030,200. The Treasury decided that the issuo of national war bonds then current would be discontinued on January 18. Unfortun ately this was accompanied by a campaign of hustle, and the public were led to believe that no further opportunity would be afforded of securing a Government security on anything like the sanio terms. Yet within a day or two of the withdrawal a new issue was placed on the market on almost precisely the same terms, the only difference being the absence cf the conversion facilities enjoyed- by the old issue. Some criticism has been levelled at tho ChancrVor of tho Exchequer ior not redwing the rate of interest.