STATE ADVANCES

Wanganui Chronicle, Volume LXXXIII, Issue 20183, 27 June 1928, Page 8

STATE ADVANCES

SETTLERS’ APPLICATIONS POSSIBILITY OF SMALL LOAN. 1 Special “Chronicle’' Service. 7 WELLINGTON, June 26. The vexed question of advances to settlers by the State Advances Department is again to the fore. News of Dominion-wide importance is that Cabinet is about to be asked to take a step which will aid the position materially. It is understood that the Minister of Financ.e (Hon. W. Downie Stewart) is about to put before the Government oposals for a special loan of £s<>o,ooo to meet outstanding applications. If Cabinet approves it is anticipated that the loan will be floated at an early date. It is probable that the Department has been forced to ask the Government for assistance by the fact that the position has been getting worse instead of better. Many applications have been outstanding for considerable periods and there appears to be no possibility of the matter improving unless a special grant is made. With the finances of the country in their present state the Treasury is unable to grant the n'ecessary accommodation, and therefore a special loan is the only recourse. Whether the Government intends to float this locally is not known, but it is considered that in view of the excellent response to the Dominion’s last entry upon the loan market the securities will be offered in London, where the money should be forthcoming easily and promptly.