CENTRAD RESERVE BANK

Taranaki Daily News, 4 December 1930, Page 9

CENTRAD RESERVE BANK

SUGGESTION IN AUSTRALIA. COMMITTEE’S RECOMMENDATIONS. ” • ■> By Telegraph—Press Assn.—Copyright. Rec. 10.30 p.ni. Canberra, Dec. 3. The select committee’s report on the establishment of a central reserve bank has been tabled in the House of Representatives. The committee suggests that Parliament should consider the advisability of providing a structure for such a . bank along the lines of those in other countries, which would probably permit easy co-operation with similar institutions, the Government’s holding to be limited to one-third and the remaining two-thirds to be made up by public subscriptions. Other suggestions are that dividends should be limited, that the first aim of t . the bank should be to build up an adequate reserve for .service in times of stress, that shareholders should receive no share of the profits from the note issue, that two-thirds of the directors to be elected by the shareholders and the remainder by the Government.