PUBLIC FINANCES

Otago Witness, Issue 3234, 8 March 1916, Page 7

PUBLIC FINANCES

STATEMENT T, Y SIR J. G. WARD. WELLINGTON, March 3. _ A statement regarding tho financial position of tho dominion was made to-night by the Minister of Finance. The Minister's figures showed that the revenue for the 11 expired months of the current financial year exceeded by £1,474,641 the revenue for the corresponding period of tho preceding year, while the expenditure decreased by £164,772.

"The public revenue for the 12 months ended February 29, as compared with the 12 months ended February 23. 1915, shows an increase of £1,659.526." eaid Sir J. G. Ward. ''Tho increases in various departments totalled £1,723,756, but thretj accounts —marine, miscellaneous, and territorial—had decreases totalling £64,160, leaving the net increase as stated above. The revenuo for February was greater bv £550.581 ihan tho revenue for February last year. That was duo principally to an increase of £325.366 in income tax, £100.247 in Customs, and £90,800 in railways. The expenditure for the 11 months shows a net decrease of £164.772. There are decreases amounting to £268.794 under special Acts. Of that amount £ISOXOO is duo to repayment to the Consolidated Fund against tho amount paid out in connection with tho war. Eight departments show decreases amounting to £208.135, and the increases of expenditure in eight others amount to £209,590. Tho growth of expenditure of the Education Department duo to increased payments to teachers accounts for £133.830 of that increase. There is also an increase of £102,657 in the charge for interest and sinking fund. Treasury bills, which stood at £1,000.000 on February 28, 1915, have been reduced by repayments until they stood at tho ond of last "month at £484,951. Tho net increaso of expenditure on tho public works account for tho 11 months is £21.202. Tho position of tho Public Works Fund as on February 29 is exceedingly satisfactory. There is a balance of £1,663,206 available for future expenditure, and the whole of that sum is represented by cash with the exception of an investment of £214,546 mado in Imperial Government Treasury bills, falling due in March and May of the present year. Tho Minister of Publio Works anticipates no difficulty in keeping down expenditure, as a reduction has been gradually prepared for. Money will be required to pay off the balance of tho Treasury bills prior to March 31, and there will bo a charge, which I cannot state definitely at the moment, for tho payment of interest duo in London before tho end of tho month. "It is not possible for mo to stato with any certainty what receipts and expenditure for tho current month will be. but I have no doubt that after making the necessary provision for the payment of all current liabilities, with Treasury bills, and interest duo .in Loudon, there will be a s.a-plus at the end of the financial year. As against that surplus there are'large prospective liabilities for the year 191617 to bo provided for. There will be a large charge for soldiers' pensions, and the amounts required for interest and sinking fund must show a big increase owing to the borrowing in connection with the war. The position, on the whole, is very satisfactory."