PAYMENT IN FULL

Otago Daily Times, Issue 23333, 27 October 1937, Page 10

PAYMENT IN FULL

INTEREST ON LOAN MONEY ASSURANCE BY MINISTER iFrom Our Parliamentary Reporter)

WELLINGTON, Oct. 26. The determination of the Government to pay in full the interest and capital amount of the loan in respect of any money it might borrow was emphasised by the Minister of Finance (Mr W. Nash) when replying to the financial debate in the House of Representatives to-night. Mr Nash said that in doing that the Government would not allow the people to starve. The suggestion had been made by Mr J. G. Cobbe (Opposition, Orua), said the Minister, that the Government would default in regard to interest payments on loans. That statement was a libel. The Government had affirmed that whatever happened, the people from whom money was borrowed would be oaid their interest and capital in full. Such statements were obviously made in an endeavour to do damage to the country. "The Government has paid in full every penny that has been due, added the Minister. "It affirms that if hardship does come, and we hope it does not, that the first charge will be the repayment of borrowed money when it is due, and in doing that we will not let the people starve.' The suggestions by Opposition members that New Zealand had lost prestige in London as a result of the policy of the Government were also denied by Mr Nash. He was astonished at such criticism from the Oppositioncriticism that was likely to do damage to New Zealand's credit abroad. After quoting headings from leading British newspapers over articles published at Home on the Budget, IV r Nash said that on October 3 New Zealand stocks in London were better than most other stocks of a like nature. That went to show that New Zealand was going along, the right track from a financial and developmental nm'nt of view.