The Financial Barometer.

Patea Mail, Volume XXXII, 14 December 1910, Page 2

The Financial Barometer.

Ample evidence of the Dominion's prosperity was made manifest by figures contained in the ohairman's address at the half yearly meeting of the Bank of New Zealand, held in Wellington last week. Mr Beauchamp showed that the fixed and free deposits in the various banking institutions of the Dominion amounted to £23,144,349 at the end of September, as compared with £20,979,120 during the corresponding period of last year exclusive of Government deposits. Under this heading there is thus shown an increase of £2,165,229, and this no deubt prompted the chairman to remark that " unfortunately there is still a lack of industrial enterprise, and money is permitted to lie idle in the banks—or, to put it another way people are throwing upon the banks the responsibility of finding an investment outlet instead of undertaking it themselves." Mr Beauchamp was discreetly silent concerning the reasons for this apparent desire on the part of capitalists to bank their money instead of investing it themselves, consequently the fact that there has been no outcry from unemployed labour and no undue financial stringency in the Dominion of late, leads' one to suppose that opportunities for investment have not kept pace with the amount of capital available. It is satisfactory to note on the same authority that " the excess of exports over imports for the past year amounts to the large sum of £5,875,078, which will account for the growth of deposits in the banks and the buoyancy of the Treasury returns." After reviewing the position of the markets in regard to our staple products such as wool, butter, and frozen meat, Mr Beauchamp expressed the opinion that a prosperous New Year was in store for New Zealand, and whilst deprecating value inflation, he hoped that advantage would be taken of the opportunity to establish enterprises and' build up industries. These wishes will be echoed by all who have the best interests of the Dominion at heart, after all money must circulate before it can do any good in a community. Hoarded wealth is of ten an incentive to social discontent, whereas flourishing indus» tries, and opening up of new avenues for labour, lead to solid progress in its best sense. The fact that the bank has practically a 15 per cent dividend in sight for the year's operations, must be extremely gratifying to its fortunate shareholders, but doubtless the bank's customers would prefer to see a smaller dividend, and a corresponding decrease ,in the present bank charges. However, the fact of our leading finanoial institution being in such a flourishing position proves that times are prosperous, and our present prosperity is a happy augury for the coming year.