The Examiner. (PUBLISHED DAILY.) TUESDAY, FEB. 9, 1892. WHAT WILL THE FUTURE BE ?

Woodville Examiner, Volume VIII, Issue 867, 9 February 1892, Page 2

The Examiner. (PUBLISHED DAILY.) TUESDAY, FEB. 9, 1892. WHAT WILL THE FUTURE BE ?

Sir Saul Samuel makes an ominous remark in reply to the criticisms of the Statist on colonial borrowing, when he said, “if New • onth Wales is unable to borrow in London or elsewhere for the construction of railways, which are earning full interest, then it is time for the Colony to consider how the works can be carried out upon colonial resources.” This brings ns hack to the article we recently published on the authority of one of the leading American bankers and statesmen. That is nothing more nor less than a National Bank of Issue, based on the wealth of the Nation and worked out in such a v/ay that it is proof against every argument of unsoundness, while its advantages tower over the present commercial system. Doubtless this is what Sir Saul Samuel meant by his warning note. The policy is one which can be readily adopted in any country, and by it the wealth of the Nation is made available as the basis of value and as the guarantee of every pound-note issued. Much mud is thrown at the advocates of a National Bank system, but the mud-slingers can only be men who have not studied or do not understand the question. The State Bank system of Germany has been an immense boon to the people of that country. In India it is at work on a certain scale and is also attended with great success as far as it goes. Mr Deakin, in a scries of interesting articles on India in the Leader thus describes the system as it is in operation there. In the Panjab a Deputy-Com-missioner may grant up to €SO, and a Financial Commissioner up to .€'soo. There is an appeal against a refusal in the same order. The security offered must be either that of the land or a tenant right, though in some instances personal security has been taken ; there should he a margin of 25 per cent, between its value and the sum advanced. Loans under €SOO must be repaid, with interest, in seven years ; above that amount the limit of time is 10 years in the Panjab, and 12 years in Bombay, and 10 years is the maximum under any circumstances. Interest in the Panjab is charged at the rate of G per cent., and in Bombay Gf per cent., about the same rale obtaining in the other Presidencies. No separate instrument is necessary to mortgage the security in the Panjab, the applicant simply endorsing a certificate of receeipt with the declaration that he understands his obligation. In the event of the establishment of a national bank system such a policy would he an inevitable accompaniment. If .Bulge Widuey has his way in the Senate of the United States lie will soon have the National Bank system established through America and prove to the world that this is a sound thing—in fact, the only solution of the serious difficulties being r Mtsed by the fact that the production of gold does not keep pace with the it-quirrtnerdr; of c'ommdrce.

A BUTTEB FACTORY. The Swanpool Butter Factory Company, a co-operative company which has been established on the Broken River, about 16 miles from Benalla, celebrated, says the Leader, the opening of their new premises by a banquet on the 4th inst., at which about 50 guests attended. It is only a little over three months-ago since the idea of starting a butter factory in the district was first conceived, but the preliminary work was carried out with despatch, and the company has now at its disposal a well finished factory furnished with all necessary modern appliances for butter making, including two Alexandra cream separators, each capable of dealing with 200 gallons of milk per hour, a concussion churn with a capacity of 4001 b, a 100 lb. butter worker, &c. The motive power is supplied by a Hornsby G h.p. engine and 8 h.p. multitubular boiler. The total cost of the machinery is £520, and the contract price for the building was £l9O, making a total of £7lO. Swanpool is an excellent grazing district, the fiats along the river being very rich, and as almost every landowner is the possessor of a herd of dairy cows, the new factory ought to have a prosperous career before it. Here is a valuable hint for settlers in the Bush Districts.