POLITICAL

Stratford Evening Post, Volume XXXIX, Issue 95, 27 August 1923, Page 5

POLITICAL

PUBLIC DEBT LIQUIDATION. Tho Repayment of the Public Debt Bill was read a first time in the House on Saturday, but Mr Massey explained that he had no intention of going on it this session. Ho proposes to circulate it for members' study during the recess and if there was a majority in favor o£ it to pass it next session. The Bill proposes to substitute for the long term sinking fund system a method whereby the Dominion's debt reduction resources may bo available to purchase and cancel Government securities as the market price is advantageous or pay them off at maturity and ;50 ensure an actual reduction in the public debt annually. For this purpose there will bo issued annually out of the consolidated fund a sum equal to h per cent of the debt affected by the Bill (at present shown as £173,-000,; 000). To this will be added'a sum' equal to interest at H per cent, per annum on the debt paid off under this scheme. By this means a portion of the savings in interest on the debt paid off will be applied to fur-, ther repayments of the debt, and the whole debt will be liquidated in about sixty years.