THE FINANCIAL OUTLOOK.

Wanganui Chronicle, Volume L, Issue 12145, 29 August 1908, Page 4

THE FINANCIAL OUTLOOK.

MR J. H. KEESING'S VIEWS

ADVICE AND WARNING

In the course of a, speech at the annual meeting of the Chamber of Commerce last evening, the President (Mr «>. i±. Jleasing) made some startling references to financial conditions in the •Uorrnmon. After remarking that the banks are conducted mainly in their own interests, Mr Keesing said: "We should not dictate to the banks as to how they should conduct their business a 1 en we find t)xeir stringency is attesting, even to ruin, the community, it is time we should look about to see ir we cannot avert the calamity. I heard, the other day of a family of five individuals who are worth £80,000 and who have not a penny mortgage, lhey had an overdraft of £6000 on a property worth £18,000, and were notihed by the bank that they must pay this overdraft. But for an opportune incident, these people would have had great difficulty in getting that £6000. Just think what the consequences might have been! I don't want to sound any extraordinary warning, but i would Jikf to draw your attention to the possibilities. "I do not think any of our banks would advance £6000 pn^ any security you would like to offer. Voices: They haven't got it . Mr Keesing, continuing, said there were perhaps other reasons. At all events, he said, it was not a oondition ot things that should exist in New Zealand. The principal reason was the extraordinary advances that had been made on estates and properties. We had allowed the special prices we had obtained for our produce to put up the value of our lands to an extent which was too high. Mr Keesing then went on to speak of the dairying industry, where a man, by employing all the members of his family succeeded in making perhaps £5 per week. If he had to pay the statutory wagea to ordinary employees he would be in a yery different position. The owner of the land, however when the time for re-leasing the land arrived, thought he was entitled to a share of the profits and put up the rent of thelaniii Mr Keesing eaid he had very greafe Sympathy for the people who. were 'jstruggling on the dairy- farms tpCiiiake a little n\orr> than a livini^wa-ge.? ? The. trouble might be only temporary;,;; as it was said there was plenty 'of in England, but he tkpughV thfebahk would be. well advised to endeavour, to tide people over their difficiiltiefc^ In conclusion, Mr Keesing said: "The financial outlook is one that is not at all satisfactory." -