ITALY'S BUDGET

New Zealand Herald, Volume LXXVI, Issue 23355, 25 May 1939, Page 11

ITALY'S BUDGET

HEAVY EXPENDITURE BIG DEFICIT LIKELY I COST OP EXPANSION HINT 0F„ MORE TAXES By Telegraph—Press Association—Copyright (Received May 24, 7/10 p.m.) LONDON, May 24 The Italian Minister of Finance, the Marquis Paolo Thaon di Revel, delivering the Budget, said the extraordinary times demanded extraordinary financing. The Italian absorption of Albania and four Libyan provinces required . early heavy expenditure quite apart from the cost of rearmament.

Although the Abyssinian expenditure had been reduced to 500,000,000 lire in 1937-38, the normal Budget was larger, so that if the deficits were added to the extraordinary expenditure the total liabilities in 1934-38 were 42,120,000,000 lire. Loans, levies and other financial expedients had met these liabilities. Expenditure in the current year would be 32,500,000,000 lire, cpmpared with the estimate of 15,035,000,000 lire. Expenditure in 1939-40 would bo 32,000,000,000 lire.

The Minister did not explain how the requisite money would be raised. He admitted that there was a difference of several thousand million lire between the estimated expenditure and the revenue, but said taxation would be overhauled and property registers would be revised.

The lira was quoted on Tuesday afc 89 to the pound sterling.