NATIONAL BALANCE.

Star (Christchurch), Issue 20075, 11 October 1920, Page 7

NATIONAL BALANCE.

NEW ZEALAND’S POSITION. Iho war debt and its bearing on nannco was referred to by the Inmo Minister in moving the second reading of the Loan Bill on Friday, 'The on March 31 last vm - compared with f?rtT% 6 o?K ,?1 « 14 * R “ of o'K ß^;. . Except for about £12,000,000 tins was all due to the war. Against these liabilities they had tangible assets amounting to £51,709 791 including the following main item’s;— Sinking funds. £7,257,400; investments ® 2nr «K ? f l )ubli<3 accounts, of New Zealand *j * <;sorvo Fund Becuritios, advances made by Treasury, £14,478,000; cash in the Public, o^,iv? ash in tllc hands) of officers, £looo.ooo. The Bank of f / ' e f lau( ) shares wore quoted at the face value, but if they were to bo ofin* i O P°. ll nia rket, they would probably be worth £2,000,000 llio expenditure of tho Government ra i'™. ys > P’ ,blic buildings, telegraphs, Native lands settlement, land, harbours, lighthouses, electrical installations etc., up to March 31 lust had amounted to £72,817,463. These items ivero nearly all directly interest earnuig, and they worq certainly worth more than they cost.' In addition, there waa Grown land remaining of an estimated value of £25,000,000. Then there was tlio expenditure of £18,125,000 on roads, immigration, Stato coal mines, drainage of land and other services that were indirectly productive. This'showed i 1”, ,5L assets approached within ~0-.,143,821 of the liabilities. Against tins there was the private wealth of the Dominion, which tho Treasury estimated at £500,000,000. Tlie lion J. A.. Hnnan: Tho country is well off financially. Better than, any other country. Hie Prime Minister said ho thought it was. A great part of tho war debt was held in the country, so that the interest did not go outside. The increase in tho ordinary* public debt, amounting _to £12,299,765, was duo to money raised for tho following purposes; Public works, £7,659,930; State forests, railway improvement and electric power supply (directly reproouctivo works), £989,000; land and swamp drainage, river improvement, etc. (indirectly productive), £349,000; purchase of lands, £3,124,000 ; advances for fruit preservingj cold storage,- mining and kauri gum industry, £221,360; scenery preservation (unproductive), £IO,OOO. ’ Speaking later Ja the evening, tho Prime Minister said he had ascertained that as nearly as possible half the public debt of the country was held in Now Zealand.