DOMINION FINANCES

Timaru Herald, Volume CI, Issue 15448, 10 September 1914, Page 4

DOMINION FINANCES

"\Y<AR LOAN ARRANGED. i (tnoM Ocb SvecxjlU Coerespoxdent., ! "WELLINGTON. Sept 9. An interesting statement in part reassuring and in part not so satisfactory., regard.ng tho resources of the New Zealand Treasury, ivas made to the House of Representatives l>v tlie Hon. i J. Allen last night. * j - The business was raised by 3lr J. Payne (Grey Lynn)-who'under cover of a quest.on declared in effect that the ("overnm. Nt had >.-!iut down on the advances to workers, and had even refused to make advances already prom sed. 3lr Allen said it was absolutely incorrect that any loans promised had not actually been granted, and he challenged the lion, gentleman to produce cm- instance of such havng been dane. When the war broke cut the State Advances' Board adjourned its meet- ; ngs from day to day for a fortnight. Then it was ii greed that the maximum advances should be reduced to £3.150 ior workers and £503 for settlers. He v.ott'.d ask member,, to assist tlie Government in regard to these Stat? Advances'.' at present, because iti was practically impossible new to raise money jn'Londoii. Jle was pleased to be able to say that the State Advances Depart men t were iu an exceptionally strong position, and the Gcvoiv.ment wore prepared to meet every committment they had made. No local bndy had been refused money actually piv-iii's-d. but local bodies had been oske.l to delay works where possible, and not to press for advances at a tme like this. It would he poss hie. under tlie arrangements already made to carry oa the publi:; works of v'lie country at the usual rats until the end of the financial year. On the ether hand, it would be impossible to provide for the repayment of tho three million loan, falsing due in December, out of any money to li • ra'sed m New Zealand, and financiers in London had refused to renew the loan, although thev s:ad been repeatedly asked to do it. He wished that the pub ie should know this. Dr Te Raiigihiron: This is a tirade. -Mr Allen; I am simply rtat'ng facts that 1 want the publ'c to know. 31r Russell: We can state facts that we know. but we are liold'-ng then l hack. " ' 31r Allen said that so far as the war loan was concerned a most satis'/airtory arangement had been made, with the assistance of the British Government. He repeated that it was mere prudence at the pi'e.seiu iime to go slow on State Advances. Sir J'osoph "Ward protested against th; l reference made to the three nrllinn loan fa!l ; ng due in Dei-ember, which lonn had been laiscil by him four years ago. Ho declared, amidst laugh, ter from the Government benches, tint if he had remained in office, it wouM all liave been converted to a 32J \ ears' loan.