PUBLIC DEBT SERVICE

Poverty Bay Herald, Volume LXIII, Issue 19129, 25 September 1936, Page 5

PUBLIC DEBT SERVICE

RESERVE BANK CONTROL

TRANSFER OF OFFICERS

(Per Press Association.) WELLINGTON, this day,

The Hon. VY. Nash, Minister of Finance, announced yesterday that the Reserve Bank of New Zealand would assume the management of the public debt on October 1, and that- notice of requirement made upon the hank in this regard was contained in the Gazette. The Minister stated that provision was made in the original legislation establishing the institution whereby the bank, on the request of the Minister, should keep a New Zealand register of inscribed stock and act as an agent for the Treasury in the payment of interest and principal, and generally iu respect of the management of the public debt. This arrangement was in conformity with the recognised principles of central hanking, it being one of the usual functions of an institution of this nature to undertake, on behalf of the Government, services which arc incidental to or are reasonably associated with the raising of Government loans, the issue of securities in connection therewith, the discharge of obligations to holders of such securities, and the keeping. of records of all loan transactions ami accounting for all the proceeds of such loans.

The Treasury officers at present employed on the special work involved would he transferring to lire staff of the Reserve Rank, and as far as the usual service to the public was concerned no material change would he evident, other than that the hank would, from 'October 1. be responsible for carrying on the work connected with New Zealand Government loans and assume the position of registrar of New Zealand Government, stock.