BANKING RETURNS.

Otago Witness, Issue 2111, 9 August 1894, Page 28

BANKING RETURNS.

The following are the chief items in the bank returns for the June quarter, compared with those of the two preceding quarters :—: —

These returns show only a very small decrease in deposits of £29,205 for the quarter immediately preceding, and the comparison with December quarter shows an increase of £140,000. The advances, on the other hand, are loss by £374,669 than in March quarter, and £817,000 less than in Decembsr quarter, co that the position of the banks as lending institiona should be nearly a million stronger than it was in December. The steady decline in discounts is an unfavourable feature, as showing a decline in ordinary trade requirements, and the figures now reached are the lowest that we have seen for a long period. The diminution in overdrafts is perhaps not so unfavourable, though half n million pulled in within six months must mean pressure lomewhere. Taking the. Bank of New Zealand alone, the toUl deposits for the June quarter were £5,201,194, against £5,229,257, and the advances £4,051,097 in June quarter, against £4,238,448 in December quarter. There is nothing like pressure here, therefore, and the reasons for the special legislative assistance granted to the bank must be sought for outside tho colony — notably for one thing, in the necessity for paying off £500,000 of advances obtained in London on tbe Globo assets. There is only a slight change in Government securities, or in the large sum included under the head of other securities, which consist, as we understand, mainly of tbe unpledged balance of the Globo assets. Note circulation shows a slight decrease, and coin and bullion held an increase of £210,000, showiug a desire to strengthen reserves. Certainly as a whole the banks are strong within . the colony, what, ever may bo their commitments ' out of it. Now that the Bank of Now Zealand is strengthened to the extent of £2,000,000 of English money we ought for some time to come to have an easy money market, unless the proposed legislation resp'.ctiug colonial 4 percent, crasols should have the effect of taking money that would otherwise be deposited in. banks to carry out public works which have been hitherto paid for by English money. No doubt this scheme will be thoroughly sifted in the discussions in Parliament on the Financial Statement.

June Quarter 1894. Deposits— £ At interest... 9,477,739 At call 4,217,959 Government 398,852 Totals ... 14,124,550 March Quarter 1894. £ 9,539,976 4,150,711 463,068 14,153,755 December Quarter 1893. £ 9,702,868 3,838,174 444,270 13,985,312 Advances — Discounts ... 2,039,107 Other advances ... 9,815,123 Totals ... 11,854,230 2,196,503 10,032,396 12,225,899 2,336,528 10,335,338 12,671,866 Government securities ... 108,014 93,293 108,172 Other securities 2,217,973 2,210,267 O O4T QOC Notes in circulation ... .959,421 975,525 940,418 Coin and bullion held ... 2,755,465 Assets 17.534,002 Liabilities ... 15,151,591 2,516.804 37.650.125 15,217,712 2,601,948 18,210,258 15..013.381 Surplus of assets_ over liabilities ... 2 382,4)1 2,462,413 3.202,877