OUR WAR FINANCE.

Taranaki Herald, Volume LXIII, Issue 144715, 25 June 1915, Page 2

OUR WAR FINANCE.

MINISTER’S STATEMENT. BT TELEGRAPH.—OWN CORRESPONDENT. ■WELLINGTON, June 24. Inquiry was made of the Minister of Finance this evening as to whether it would be necessary for New Zealand to take any action similar to that contemplated 'by tho Australian Prime Minister—that of raising a local war loan, “My only remark about the English war loan,’’ Mr. Allen said, “is that 41 per cent, seems to me a fairly high price to pay as interest for a loan, and this does make some difference to us in New Zealand with respect to our war x loan. Hitherto we have been getting our money at a good deal less than 4 per cent. If we are now required to pay 4L per cent., plus exchange, then tho matter becomes one that deserves serious consideration. “New Zealand may thank its stars that its finances were in tho position that they, were when this war broke out. I don’t think any other country was as favourably situated as Now Zealand in this respect. I don’t boast about it because I happen to b© Minister of Finance, but it is a fact we were in an extraordinarily strong position. This docs not mean that wo can. afford to bo extravagant. We have to be very careful with the money w© have available and we can’t afford to scatter * it. People must not think that because. I say finance is strong we can make advances to local authorities and that sort of thing. That we can’t do without shattering our finances to pieces.”