8.-6.
INDEX.
PAGE Annual Appropriations, 1933-34 .. .. .. .. .. 19 Assistance to industry (Unemployment Fund) .. .. .. .. 14 Assistance to primary industries .. .. .. ~ 2 Bank overdraft rates .. .. .. .. .. .. 4 Banks Indemnity (Exchange) Act .. .. .. . . .. 8 Borrowing, new .. .. .. .. .. .. .. 9 Budgetary position.. .. .. .. .. .. ..16,20 Customs Tariff Commission.. .. .. .. .. .. 5 Defence expenditure .. .. .. .. .. .. 19 Deposit rates .. .. .. .. .. .. 4 Derating of rural lands .. .. .. .. .. .. 5 Economy measures.. .. .. .. .. .. ~ 16 Exchange adjustment .. .. .. .. .. .. 6 Exchange rate .. .. .. .. . ; .. .. 18 Exchange requirements .. .. .. ~ .. .. 18 Expenditure, 1932-33 .. .. .. .. .. .. 7 Expenditure, 1933-34 .. .. .. .. .. 17, 19 Export prices .. .. .. .. .. .. .. 1 Fertilizer subsidies .. .. .. .. .. .. .. 2 Fixed charges .. .. .. .. .. .. .. 2 Funded debt .. .. .. .. .. .. .. 17 Highways revenue .. .. .. .. .. .. .. 18 Hydro-electric works .. .. .. .. .. .. 11 Income-tax .. .. .. .. .. .. .. 16 Interest rates .. .. .. .. .. .. .. 3 Interest saving .. .. .. .. .. .. .. 17 Internal adjustments .. .. .. .. .. .. 1 Land development.. .. .. .. .. .. .. 12 Land-tax .. .. .. .. .. .. .. .. 2 Liquidation of reserves .. .. .. .. .. ~ 8,16 Loan conversion, local authorities .. .. .. .. .. 3 Loan conversion, public debt .. .. .. .. .. 3, 9 Loan programme .. .. .. .. .. .. .. 11 London loan conversion .. .. .. .. .. .. 10 Main highways .. .. .. .. .. .. .. 11 Miscellaneous works .. .. .. .. .. .. 12 Mortgage rates .. .. .. .. .. .. .. 5 Native land development .. .. .. .. .. .. 13
i—B. 6.
8.—6.
PAQE Outlook abroad Primary industries, assistance to Public Accounts, 1932-33 .. .. • • • • ■ • • • 6 Public debt •• •• 8 Public Works •■ ;.'•/ 10 Railway construction, &c. .. .. • • • • ■ • • ■ '■'■ Reserve Bank , . .. • • • • ■ • • • • • Reserves, liquidation o .. .. • • • • • • ■ • o, Id Revenue, 1932-33 .. .. • • • • • - - • - ■ 7 Revenue, 1933-34 .. .. • • • • ■ • ■ .. 16, 20 Revenue, unemployment, 1933-34 . - .. - - • ■ ■ • l^ o Salaries and wages Secondary industries Small farm plan Stamp duties .. • • ■ • • - • < • • •' 16 1 ft Sterling assets, surplus ... .. • • ■ • - ■ • • lo Superannuation funds Treasury bills Unemployment .. .. Unemployment revenue, 1933-34 . - — ■ • • - *& World Conference ..
II
8.—6.
L 933. NEW ZEALAND.
FINANCIAL STATEMENT. (In Committee of Supply, 9th November, 1933.) BY THE RIGHT HON. J. G. COATES, MINISTER OF FINANCE.
Mr. Chairman. —■ In rising to review the position of our national finances 1 am glad to be able to note that export prices generally are on the up grade. The further disastrous sag in prices which occurred during the last June quarter was followed by a rapid recovery, and, though a slight check has since been experienced, there is reasonable ground for the belief that this is only a temporary halt. Furthermore, the general movement covers practically all of the products in which the Dominion is vitally interested, and is apparently of such a nature that the prospects for economic recovery are brighter now than at any time since the heavy fall in these prices brought depression to New Zealand. As the return from our exports increases, the gap between prices and costs in the primary industries, which constitutes our basic problem, will close, and farming will again become profitable. When some measure of equilibrium is thus restored at the foundation of our economic structure, recovery generally will follow rapidly, although it will naturally take time to clear away the wreckage of the slump and get trade and industry working smoothly again. The outlook, however, is heartening, and gives us renewed courage to press forward with the work of reconstruction. Abroad, as a result of economic pressure, there is widespread unrest, and in some countries far-reaching changes have been made. In fact, conditions in most countries are in a state of flux, but it is becomingly increasingly evident that the economic tide has definitely turned, and that business activity is gaining momentum in the leading countries notwithstanding the failure of the nations to deal comprehensively with some of the major problems of the world. Fortunately for New Zealand, Great Britain at present appears to be making more solid progress towards recovery than any other great nation. It is a matter for regret that it was found necessary to adjourn the World Monetary and Economic Conference before it had really started on the work for which it was called together ; but, as indicated in the report of the New Zealand delegation, already submitted to you, the views of the various nations as to the best and quickest way out of economic chaos were so divergent that no other course was possible. In the meantime, each country is endeavouring to work out its own salvation. In New Zealand we depend to such an extent on our export trade in primary products that our economic welfare is bound up with the prices obtained for wool, meat, dairy produce, &c, in our principal market, Great Britain.
Export prices.
Outlook abroad.
World Conference.
Internal adjustments.
I—B. 6.
Assistance to primary industries.
Secondary industries.
Salaries and wages.
Land-tax.
Fertilizer subsidies. it '
Fixed charges.
8.—6.
This being so, the Government has directed its efforts towards making internal adjustments to assist in bridging the gap between prices and costs, and to maintaining pastures, while doing everything possible to assist the unemployed, and generally keeping our productive powers and economic structure intact. The Government is at times accused of devoting all its energies and the resources of the public purse to assisting the farmers at the expense of the cities and towns, but it must not be overlooked that anything approaching a collapse of our primary industries means ruin for the whole Dominion. Thus, in helping the farmers to carry on, the Government is directly assisting the whole community. It is not a case of town versus country, and the fostering of any such feeling is to be deplored. The importation and manufacture of goods, transport, banking, and insurance facilities, and all the other services rendered by the towns are necessary to the country districts. Each section of the community has its part to play in a complete organism. The Government, in the interests of the whole Dominion, is simply rendering assistance where it is most needed, and that is at the foundation of our economic structure. It is not denied that the secondary industries, and, in fact, all sections of the community, have been seriously affected, but their troubles are directly or indirectly a reflex of the disastrous position in which the farmers found themselves as a result of a 50 per cent, drop in the sterling prices of their products within a period of about three years. On the other hand, working-costs remained relatively rigid at about the same level as before. In other words, the problem was, How were the industries to carry on with export prices per cent, below the 1914 level, while costs remained about 50 per cent, above that level ? Obviously, drastic action was called for. Furthermore, the measure of adjustment required was so large that the only hope of success without serious disorganization and hardship lay in tackling the problem from both ends, by deliberately planning to reduce costs on the one hand and to increase receipts on the other. Steps were taken to bring about a general reduction in salaries and wages, as these enter so largely into the cost of everything. The reductions made, however, were more than offset by a fall in the cost of living, so that there was actually no fall in the purchasing power of full time wages rates. Honourable members will recollect also the substantial reductions in land-tax, which not only relieved farmers but also benefited owners of city properties, and doubtless were a factor in lowering rents generally. Subsidies on the carriage of lime and fertilizers and also on the manufacture of the latter, together with cheap railage freights on farm-produce generally, provide further aid to the farmer at a cost to the Budget of over £400,000 per annum. That the assistance given to farmers to maintain the productivity of their lands achieved its object is indicated by the quantities of fertilizer and lime carried by the railways : — Year ended Fertilizer. Lime. 31st March, Tons. Tons. 1928 .. .. .. .. 586,000 116,000 1929 .. .. .. .. 713,000 142,000 1930 .. .. .. .. 681,000 172,000 1931 .. .. .. .. 563,000 157,000 1932 . . .. . . .. 573,000 140,000 1933 .. .. .. .. 614,000 174,000 Another matter that received attention was the vexed question of fixed charges wherein the disturbing effect of the heavy fall in prices was most glaringly apparent. When prices dropped by half it simply meant that the relative burden of fixed charges was more than doubled. Uncertain as to the extent and duration of the fall in prices, the first step taken was to provide machinery in the mortgagors and tenants relief legislation whereby obligations could be postponed and debtors given time in which to recover. Later, under the compelling force of circumstances, this legislation was widened and extended ; and, in addition, it was found necessary in the National Expenditure Adjustment Act to make provision for an all-round 20-per-cent. reduction in mortgage interest down to a minimum of 5 per cent.
2
Interest rates.
Public debt loan conversion.
Local authorities loan conversion.
8.—6.
Honourable members are, of course, fully aware of most of these facts, but I have deemed it advisable to restate the basic difficulties which faced the Dominion and the steps that have been taken to bring about a sufficient measure of readjustment to enable the country to carry on. In a time of rapid changes people are apt to seize upon and perhaps strongly criticize particular items that directly affect them, and in doing so lose their perspective of the problem as a whole. Experts do not altogether agree as to the causes of our troubles, but all are in agreement that cheap money is an essential element in recovery. Accordingly, while endeavouring to give relief for the present, the Government set out upon a campaign to bring about lower market rates of interest on a sound basis. It was considered that if this could be achieved it would be of much greater and more lasting benefit to all sections of the community than a simple cut in existing charges. In New Zealand, the rates of interest on Government securities largely set the standard for the Dominion as a whole, and directly or indirectly affect all other interest rates. This being so, it soon became apparent that the 10 per cent, stamp duty imposed as a temporary measure would not meet the situation, and attention was turned to the problem of converting the whole internal public debt to lower interest rates, a financial operation far exceeding in magnitude anything previously attempted in this Dominion. The conversion was an outstanding success, and illustrated to the world the willingness of the people of the Dominion to make financial sacrifices in the interests of their country as a whole. The whole of the £115,000,000 concerned was converted, with the exception of £475,000, equal to less than -| per cent. Approximately £356,000 of the dissented stock has since matured and been redeemed, so that the objective of taking off the market all stock bearing a higher rate of interest than 4 per cent, has for all practical purposes been achieved. The new stocks bear interest at per cent, in the case of issues the interest on which continues to be free of income tax, and 4 per cent, in all other cases. The free of income tax concession continues until the maturity date of the original securities, after which the interest on all stocks will be at the rate of 4 per cent., subject to taxation. The basis of the conversion, however, was a reduction of 20 per cent, on the interest rates that previously obtained ; but, in order to obtain uniformity in the new issues, any interest due over and above 3 J per cent, or 4 per cent., as the case might be, was compensated for on an actuarial basis by the issue of additional stock by way of premium or by payment in cash where small amounts were involved. The effect on market rates of interest is fully up to expectations, for the new 4 per cent, stocks are being sold on the market at higher prices than ruled previously for 5 per cent, securities. Therein lies the proof of the real success of the conversion operations. In any plans for the establishment of lower interest rates the securities issued -by local authorities could not be overlooked; but owing to the number and variety of such, bodies immediate conversion on a comprehensive basis was not possible. Accordingly, as an intermediate step to conversion by each local body concerned, a statutory reduction of 20 per cent, in the interest payable on all such securities, but with a minimum rate of 4j per cent., was imposed. Local bodies generally, recognizing the benefits to be obtained from establishing the lower interest rates on a permanent basis and at the same time simplifying and consolidating their debts, are now engaged in drawing up schemes and making preparations for conversion operations. Numerous schemes have already been passed by the Local Government Loans Board and authorized by Order in Council. In a number of other cases the preparatory work is nearing completion, and during the next few months a large number should be placed before the bondholders. Special rating areas are causing difficulties in the case of some local authorities, but it is proposed to bring down legislation to enable local authorities to amalgamate or suitably group such areas, or, where it can be done without inequity, entirely eliminate them and strike a consolidated rate for debt charges. In order that the lower interest rates may be stabilized on a sound basis, I would urge every local authority that has not already done so to draw up an equitable scheme of conversion without delay and submit it for approval to the Local Government Loans Board. I would further appeal to holders of
3
Bank overdraft rates.
Deposit rates.
8.—6.
local body securities to play their part in ensuring for the Dominion an era of cheap money that will protect investments by maintaining values at a higher level and generally be a powerful aid to economic recovery. Concurrently with the efforts made to lower rates of interest on long-term investments, steps were taken to deal with short-term rates. From the point of view of helping the people of the Dominion, it was recognized that a reduction of bank overdraft rates would prove of immediate and far-reaching benefit to all sections of the community. The overdraft rates of the banks and the advances rates of other institutions are, of course, definitely linked with deposit rates, for, obviously, the rate at which money can be lent is governed to a large extent by the rate at which it can be borrowed. The Government made every effort to bring about all-round reductions, and a comparison between the overdraft rates obtaining in May, 1930, when 7 per cent, was being charged, and the rate ruling for best accounts as from the Ist May lastnamely, 5 per cent. —speaks for itself. Concurrently with reduction of the overdraft rates, as a result of representations made to the New Zealand Live-stock, Auctioneers, and Agents' Association, the rate of interest now being charged, on stock and station accounts was also reduced down to a minimum of 6 per cent. With bank advances standing at about £50,000,000, a reduction of 2 per cent, in this direction alone means a direct saving of £1,000,000 a year, and it is obvious that this relief has been afforded where it is most urgently needed. Even £1,000,000 is but a fraction of the saving that has resulted from the lowering of overdraft rates, for the interest charges on innumerable transactions are directly linked with these rates. Just as an increase in overdraft rates is reflected in a rise all round, so a reduction has a " snowball" effect. This brings us to the question of deposit rates, embracing banks, savings-banks, building societies, and trading companies. It will be remembered that, following the passing of the National Expenditure Adjustment Act, steps were taken to fix by Order in Council the maximum rates of interest that could be paid by savingsbanks or might be offered for future deposits by building societies, investment companies, and trading companies. Deposit rates generally are based upon rates offered by the banks, and the extent of the reduction effected in the bank rates is indicated by the following : — April, July, Period. 1930. 1933. Per Cent. Per Cent. Three to six months .. .. . . .. 3f 2 Twenty-four months .. .. .. . . 5 3 Rates for intermediate periods were reduced in proportion. These reductions in the bank rates rendered it possible to reduce the maximum rates that might be paid by building societies, investment companies, and trading companies. As an indication of the position, I may quote the maximum rates now ruling for call and two-year deposits : — Call. Two Years. Per Cent. Per Cent. Trading banks . . ... .. .. .... 3 Post Office Savings-bank— Up to £1,000 .. .. .. .. 3 Over £1,000 and up to £2,000 .. .. 2f Trustee savings-banks . . . . . . .. 3 Building and investment societies— New deposits .. .. . . . . 4 Renewals of old deposits .. . . 3 4^. Trading companies and stock and station agents . . 3| 5 It is significant that the prescribed returns from building and investment societies and trading companies since the recent legislation came into operation disclose that interest rates as high as 10 per cent, were being paid by certain of these institutions, while rates as high as 6i per cent, were quite common. It will be observed that, in so far as savings-banks are concerned, the rate for both the Post Office Savings-bank and the trustee savings-banks is now as low as
4
Page 5 : Insert, after the words "will be made shortly", the words " There is, of course, no intention of pressing for amalgamation except where the advantage to the locality is clear and the change is agreed upon. The particular matter that calls for attention is the granting of relief in respect of fixed charges on rural land."
Reserve Bank.
Mortgage rates.
Derating of rural lands.
Customs Tariff Commission.
8.—6.
3 per cent. Moreover, in so far as the Post Office Savings-bank is concerned, this rate applies only to amounts up to £1,000, but above that amount 2-f per cent, is allowed up to the maximum of £2,000. The ultimate success of the Government's interest reduction policy depends upon achieving stability at the lower level of rates. This is now assured in so far as interest on Government and local body securities is concerned. In regard to deposit rates, although these are at present held down by the restrictions imposed, the indications are that the market is settling down to operating at the lower rates. Previously, something in the nature of a scramble for deposits by all classes of institutions had a good deal to do with driving rates up to uneconomic levels. Further, interest rates are fairly rigid in New Zealand, and when driven up they tend to stay there. I may add that the Reserve Bank when established will play a leading part in bringing about and stabilizing interest rates at lower levels. From this aspect alone the Bank will be of very definite value, both from the viewpoint of public finance and of the country generally. So far as mortgages are concerned, the 20 per cent, reduction in interest under the National Expenditure Adjustment Act is only a temporary expedient, being operative to 1935 only. Furthermore, the statutory reduction is applicable only in the case of mortgages in force on Ist April, 1932, although in a great many cases mortgagees have agreed to allow mortgages to run on overdue in order that mortgagors may continue to receive the benefit under the Act. This position is, however, not satisfactory in that, unless the mortgagor knows where he stands in regard to his finances for a reasonable period ahead, he has not the same incentive to go ahead and develop the property, which is the security for the loan. Thus, in their own interests as well as for the benefit of mortgagors, I would strongly urge mortgagees to arrange renewals for a definite period at the reduced interest rates. Furthermore, if rates for other forms of investments are stabilized at lower levels, there should be a corresponding permanent reduction in mortgage rates. The State lending departments are already giving a strong lead in this direction by granting renewals for a further term at 5 per cent, interest in all cases where the security and the personal element are satisfactory. Any new loans granted are also being made at this rate. As in the case of all other fixed charges, the fall in prices has greatly increased the relative burden of rates, and demands for derating of rural lands, wholly or partially, are made from time to time in different quarters. As was to be expected, the subject was prominent in the discussions at the Counties' Conference recently held in Wellington. Total derating, however, is not a practicable proposition, and Ido not think it would be equitable if it were possible. In fact, any measure of derating amounts to no more than a transfer of the burden from one section of the community to another. It is considered that the first effort should be in the direction of seeing what can be done to reduce the burden by lowering the cost of local government through an overhaul of the whole system in the light of present day circumstances. The reduction in interest already referred to was of material assistance in this direction, but what I have in mind at the moment is a scheme of amalgamation of local bodies to obtain increased efficiency and economy. The whole subject must be approached with reason and with practical common-sense, but I think, it will be generally agreed that we have now arrived at a stage when we can with benefit to the whole country, as well as to those directly concerned in local government, carry out a complete survey of the general position of our local bodies. In this lam glad to say that the Government has the general support of the counties. The Government now has under consideration the personnel and order of reference for a Royal Commission to be set up to inquire and report on the whole question. An announcement in regard to the matter will be made shortly. The Customs Tariff is another matter which has a direct bearing on the costs of production and generally on the costs of living of the whole community, but I do not desire to make any comments in regard to it while the whole position is being reviewed by a Royal Commission. All the measures that I have so far referred to are important factors in giving sorely needed relief and laying the foundation for economic recovery, but so wide is the gap to be bridged that alone they were not sufficient to meet the situation. The desperate financial position of thousands of farmers made this very evident.
5
Exchange adjustment.
Public Accounts.
8.—6.
Despite a remarkable increase in quantities exported—which incidentally shows how the farmer has striven to solve his own difficulties by hard work—the sterling value of exports fell from £56,526,000 for the financial year 1928-29 to £32,677,000 for last financial year, a decline of over 40 per cent. With a drop in income of this magnitude, which, of course, applies also to the returns from produce sold internally, the imperative necessity of giving substantial assistance to the primary industries is obvious. The experience of all countries similarly placed is that costs are very rigid and it is impracticable, if not impossible, to make substantial reductions within a short period without imposing such inequity and hardship upon other sections of the community as would increase the dislocation in trade and industry and generally intensify the already serious economic difficulties. In these circumstances the only practicable course was to approach the problem also from the other side by taking action in some direction that would increase the yield to the farmer from his produce. After a careful consideration of all suggested methods, the Government reached the conclusion that raising the exchange rate was the best course to pursue. I may say that the Government fully realizes that the exchange adjustment increased the already serious difficulties of local bodies, traders, and other sections of the community generally, but I wish to emphasize again that the step was deliberately taken in the best interests of the Dominion as a whole, for it is clear that anything approaching a collapse of the primary industries, at the base of our economic structure, would undoubtedly lead to disaster for all other industries, involving the whole community. That is the salient fact that should not be overlooked by those who criticize the action of the Government in the matter. It was to be expected that such a far-reaching and unusual act as raising the exchange rate would give rise to sharp differences of opinion, but the recurrent agitation for its repeal and. constant and baseless rumours that the rate is about to fall have led to a measure of uncertainty and holding back in business that is unwarranted, and those responsible for stirring up the agitation or spreading idle rumours are acting against the best interests of the Dominion. We have recently witnessed a welcome upward movement in export prices ; but, owing to the further heavy fall in the interim, those prices in sterling are now little above the level at which they stood when the exchange rate was raised. As a result of all the efforts made, the gap between costs and prices has been narrowed considerably, but the Government Statistician's indices still show export prices about 16 per cent, below the 1914 level, whilst farm costs, which are more difficult to measure, are still about 20 per cent, above that level. This is the position after taking the exchange adjustment into accountj so it will be evident that the measure of assistance given by the raising of the rate must continue in the meantime. In taking action in the various directions that I have indicated the Government has been concerned more with economic rehabilitation of the country generally than with balancing the Budget. The revenues of the State depend upon trade and industry and the general welfare of the people, and in times like the present it is advisable to look first to the foundation of the Budget. The restoration of sound economic conditions is a first step towards sound public finance. PUBLIC ACCOUNTS. Before proceeding to analyse the budgetary prospects for the current year, I would like to refer to the results for last financial year. Honourable members will recollect that when the year opened the country was confronted with a prospective budgetary shortage estimated at £8,300,000. The remedial measures adopted, mainly the use of reserves and further economies in expenditure, together with an improved outlook for the revenue by the time the Budget was brought down, were calculated to reduce the deficit to within £1,000,000. For the first time for several years the revenue exceeded expectations by a substantial amount, £938,000, while, as a result of rigorous control of expenditure, a net saving of £112,000 was effected, notwithstanding that an unexpected item of £470,000, for purchase of surplus exchange, was included in the accounts. The net result was a small surplus of £40,000. Having regard to the position when the year opened, it will, I think, be agreed that this result is very satisfactory indeed.
6
Revenue.
Expenditure.
8.—6.
REVENUE. The total revenue received during the year amounted to £22,568,521, comprising taxation receipts, £15,605,206 ; interest, £2,641,710; and other departmental receipts, £1,821,605 ; whilst £2,500,000 was drawn from reserves ; the Bank of New Zealand and the National Bank of New Zealand, Ltd., assisting by liquidating reserves invested in discharged soldiers settlement mortgages by advancing against hypothecation of the securities. As will be seen from the comparative tables attached to this statement, in which the items making up the above are set out in detail, the total revenue from taxation exceeded the Budget estimate by £800,000, the principal items in excess being Customs duties, £431,000 ; income-tax, £156,000 ; stamp and death duties, £99,000; and motor-vehicles duties, &c, £70,000. In fact, with two minor exceptions, every item of taxation exceeded the estimate, and the aggregate amount received was greater than for 1931-32, apart from the yield from the additional taxation imposed during the concluding months primarily for the benefit of this year's Budget. This appears to indicate fairly conclusively that in general we have at last come to the end of the constant heavy shrinkages in revenue that have been such a disturbing factor in budgeting since the depression descended upon us. Under interest receipts the only important variation arises out of the improved position of the net railway revenue which exceeded the estimate by £110,000. This is concrete evidence of an improving tendency in the finances of this important branch of the Dominion's transport services. Little variation is evident in respect to other departmental receipts with the exception of registration and other fees which yielded some £37,000 in excess of what might reasonably have been expected under ciirrent economic conditions. EXPENDITURE. The net expenditure for the year totalled £22,528,379, against an estimate of £22,640,952, a net saving of £112,573. As already indicated, however, the expenditure included £470,000 for purchase of surplus exchange, which was not allowed for when the estimates were prepared. Thus the savings in other items totalled £582,573. Having regard to the fact that the estimates were carefully pruned and gave effect to most of the recommendations of the National Expenditure Commission, the saving of this additional amount was no mean achievement. It is the result of the whole-hearted co-operation of all Ministers and their Departments to reduce expenditure to an absolute minimum consistent with the maintenance of efficiency in their respective organizations. A glance at Table No. 9, attached to this Statement, will show that the amount I have mentioned was made up of numerous small savings spread over nearly every vote. SUMMARY OP YEAR'S OPERATIONS. The year's operations may be summarized as follows : — Expenditure. Permanent appropriations— £ £ Debt services .. .. .. .. 9,890,015 Other services .. .. .. .. 2,303,193 Annual appropriationsSocial services .. .. .. .. 6,797,213 Other votes . . . . .. .. 3,537,958 22,528,379 Revenue. Taxation .. .. .. ... .. 15,605,206 Interest .. .. .. .. ..2,641,710 Other receipts . . . . . . .. 1,821,605 From reserves .. .. .. .. 2,500,000 Total revenue .. .. .. .. — — 22,568,521 Surplus .. .. .. .. .. £40,142
7
Treasury bills.
Banks Indemnity (Exchange) Act.
Liquidation of reserves.
Public debt.
8.—6.
TREASURY BILLS. The published accounts show that Treasury bills issued under the Public Revenues Act to meet cash requirements during the year amounted to £22,974,406, including issues in renewal. The total accommodation received, however, was £6,060,000, of which £3,700,000 was obtained from the banks and £2,360.000 from Government accounts and the public. The balance consisted of issues in renewal of these bills and also of the £3,030,000 of bills outstanding ■on the 31st March, 1932. The bills issued had a currency not exceeding three months, and were discounted at rates ranging from 3 per cent, to 4 per cent, in the case of bills taken up by Government accounts and the public, and £5 Bs. 9d. and 5\ per cent, per annum in the case of bills issued to the banks. In the aggregate, £24,419,406 of revenue bills were paid off, the amount being £1,445,000 in excess of the issues during the year. The result was that by the 31st March last revenue bills outstanding had been reduced to £1,585,000, all of which were held by Government accounts. In addition to these revenue bills, transactions under the Banks Indemnity (Exchange) Act resulted in the issue of £2,858,034 19s. 7d. of bills to the banks, of which £477,697 19s. 7d. was repaid, leaving £2,380,337 outstanding on the 31st March. These bills, which were discounted at the rate of £5 Bs. 9d. per cent. per annum, represented the purchase price of £1,910,000 of surplus London funds taken over under the guarantee arrangements. As a result of all these operations, the floating debt as at 31st March last amounted to £3,965,337, as compared with £3,030,000 as at 31st March, 1932, an increase of £935,337 for the year. I maj r add that, although it does not form part of the public debt in the ordinary sense of the term, there is also the liability under the arrangements made for liquidation of reserves by the hypothecation of discharged soldier settlement securities to two of the banks. This is a self-contained arrangement whereby the liability incurred to secure immediate liquidation for the Consolidated Fund will be gradually repaid from the capital repayments received under the table mortgages in which the reserves are invested. The amount of the liability in question is £2,250,000, the balance (£250,000) of the amount utilized by the Consolidated Fund being drawn directly from repayment of mortgages. PUBLIC DEBT. Apart from the operations affecting the floating debt which I have justexplained, there was a net reduction in the amount of the public debt during the year of £255,179. Additional long term debt to the amount of £2,506,256 was raised in New Zealand and £5,000,000 in London for the following purposes : — Capital expenditure — £ £ Public Works (including hydro-electric supply) .. 1,146,661 Land for settlements . . .. .. 250,000 Native land settlement .. .. .. 191,000 State forests .. .. .. ".. 170,000 1,757,661 Redemptions of debt . . . . .. . . .. 5,748,595 £7,506,256 Particulars of the £5,000,000 raised in London will be found in last year's Budget. Of the £2,506,256 raised in New Zealand, £1,312,350 was obtained from the public, while the balance of £1,293,906 was derived from departmental investments and sales of Post Office investment certificates.
8
Loan eonversion.
New borrowing.
8.—6.
Redemptions of long term debt during the financial year amounted to £7,761,435, the funds for the purpose being derived from the following sources :— For debt repayment— £ £ Repayment of Public Debt Act, 1925 .. .. 922,310 Reparations and war credits .. .. .. 132,725 Separate Accounts . . . . . . . . 957,805 — 2,012,840 From issues in redemption . . . . .. .. 5,748,595 £7,761,435 Of the redemptions effected, £4,000,000 was London debt, £23,170 was held in Australia, and the balance in New Zealand. Thanks to the generosity of Great Britain in extending the moratorium on our funded war debt and certain other debts due to the British Government, no payments were made in respect of this portion of the debt during last financial year. The major debt operation during the year was, of course, the conversion to which I have already referred, although it was not operative until the commencement of this financial year. Due to this fact, the debt table as at 31st March, 1933 (8.-l [Pt. Ill]), presented with this statement does not reflect the result of the conversion operations. In order to show the present position an up-to-date statement giving the new maturity dates, and domicile of the debt, in summary form, has been included in Table No. 17 attached. The debt operations for last financial year may be summarized as follows :— £ Debt as at 31st March, 1932 .. .. .. 281,942,800 Plus net increase in floating debt as previously mentioned . . .. .. . . 935,337 282,878,137 Less net reduction in long term debt .. 255,179 Public debt as at 31st March, 1933 .. £282,022,958 Classification of Debt. £ Ordinary .. .. .. .. .. 173,146,340 War .. .. .. .. .. 66,743,041 Discharged soldiers settlement . . . . . . 6,870,476 State advances .. .. .. .. 35,863,101 £282,622,958 To provide the funds for carrying on a limited programme of public work's and land development during the current year, the Government is offering stock and debentures bearing interest at 3f per cent., to mature on the 15th November, 1941. A copy of the prospectus in respect of the issue may be obtained from the Treasury, any trading bank, Stock Exchange, or moneyorder office in New Zealand. In addition, the sale of Post Office investment certificates has recently been resumed. The new form of issue will, I think, be even more popular than the certificates previously on sale, as some new features have been introduced. In fact, the new issue is on the lines of the British national savings certificates in that, although a definite currency of six years is provided for, the certificates will have a graduated redemption value after a period of six months from the date of issue. In addition, if not presented for payment, the certificates will remain interest bearing for a period of four years after the fixed maturity date. The redemption value for the fixed period of six years has been calculated on the basis of approximately 3|- per cent., interest compounded.
2—B. 6.
9
London conversions.
Public Works.
8.—6.
LONDON CONVERSIONS. Before leaving the subject of the public debt, I would like to refer to the question of conversion of the portion domiciled in London. As the Dominion has now reduced internal debt charges, and lias thus accepted the sacrifice entailed in putting its own house in order, attention is naturally directed to the possibility of reducing the burden of external debt charges. As honourable members will have noticed from the report on the Monetary and Economic Conference already tabled, this matter was raised by the Right Hon. the Prime Minister at that Conference. In addition, it was discussed with the British authorities by the New Zealand delegation to the Conference. The general opinion in London, however, is that it is impracticable —in the meantime, at any rate —to make any arrangements for general relief, and that attention must be confined to conversion of those portions of the debt in respect of which there is an option to repay now exercisable. Unfortunately, in this respect we are not so well placed as some of the other dominions. We have, however, quite recently been successful in arranging for the conversion of £5,000,000 5 per cent, bonds which were callable. These short term bonds, bearing interest at 5 per cent., are for the most part held by the money market to which the long term issue now arranged is not suitable. Accordingly, the new loan is more a redemption than a conversion issue, the securities being taken up by a different class of investor. The terms of the new £5,000,000 loan are : Interest rate, 3| per cent.; issue price, £97 : redeemable in 1954 ; but the Government has reserved the right to redeem in 1949 on giving three months' notice. The issue was most successful, the loan being subscribed sevenfold in thirty-five minutes after the lists were opened. Satisfaction is felt as to the terms obtained, which are more favourable than for any previous issue during the last thirty years. The return to investors with redemption at par in 1954 is £3 14s. 3d. per cent., and the cost to the Government, allowing for the redemption of the discount and expense over the period, is approximately £3 17s. sd. per cent. The net saving in interest will amount to approximately £67,000 per annum, allowing for redemption costs of the respective loans. The only other loan which the Dominion at present has the right to repay is £4,000,000 4 per cent. 1933-43 securities. The possible saving of interest through conversion of these securities is relatively small, but, nevertheless, arrangements will be made at the earliest favourable opportunity to deal with them. In 1935 options to repay accrue in respect of £10,000,000 of debt and in 1936 of £5,800,000. CAPITAL EXPENDITURE. The Government is being urged to expand public works as a means of giving a fillip to industry and relieving unemployment. What must be borne in mind, however, is that the counterpart of capital expenditure out of loan moneys is the public debt and interest and debt repayment charges. Furthermore, unless the works undertaken are reproductive, these charges fall upon the taxpayer. A large and relatively sudden expansion of public works would no doubt act as a stimulant, but,.having regard to the other side of the picture in present circumstances, with the relative weight of all existing debt charges greatly increased by the fall in prices, it is obvious that any such expansion could not be maintained for long, and when the effect of the stimulant had worn off the community would be in a worse position than it is now —that is, apart from any improvement resulting from a rise in prices. If we coiild be reasonably certain that export prices, which are the key to our economic fortunes or misfortunes, were going to recover rapidly, then there would perhaps be some justification for a large expansion of public works to tide the Dominion over in the meantime. All indications, however, point rather to a slow recovery in prices. It is true that the putting in hand of extensive public works has been strongly advocated by prominent economists in Great Britain and elsewhere and wa,s to be discussed at the World Conference, but such proposals weie intended only for creditor nations, the basic idea being that the expansion thus brought about would help to lift prices in markets absorbing primary products and thereby automatically aid debtor countries such as New Zealand.
10
11
Loan programme.
Railway construction, &e.
Main highways.
Hydro-electric works.
8.~6.
It is not contended that borrowing for development of our natural resources should entirely cease, but, with things as they are, it would be a serious mistake to attempt to go too fast, and it is essential that loan expenditure be restricted to necessities and works that will directly or indirectly earn sufficient to cover the debt charges involved. No country can borrow its way into prosperity. At the same time, it is recognized that with the much reduced construction costs this is an opportune time to proceed with capital works. Carefully weighing all these considerations, the Government is proceeding with a moderate programme of loan expenditure. Loan moneys for this purpose are being raised in New Zealand. The public works estimates, which will be tabled to-night, set out the capital expenditure for last financial year and the proposals for the current year. In the past, expenditure on railways has been a prominent feature of the capital programme, but, with the completion of the line to connect Taranaki directly with the Main Trunk line and the cessation of work on other lines —for the time being at any rate —we have practically reached the end of railway construction. The vote of £25,700 set down for the current year is for cleaning-up purposes only. So far as railway improvements are concerned, the only major work now in hand is the Tawa Flat Deviation and the Wellington terminal facilities. On the deviation £1,312,000 has already been expended, and the estimated cost of completing it is £120,000, of which £70,000 is being provided this year. Little use can be made of the large amount of capital so invested until the Wellington yards are relaid and the two obsolete stations replaced by an up-to-date building. This amalgamation of two out-of-date stations will give convenient accommodation to the public and the staff. The large reclamation works are now finished, and in co-operation with the Unemployment Board it has been decided to push on with the relaying of the yards and the, building of the station. Tenders for the latter have already closed. It is estimated that £705,000 is required to complete the terminal facilities, of which £109,000 is being provided this year. On the grounds of economy in working, cleanliness in the tunnels, and general convenience, it has also been decided after careful investigation to adopt electric traction for the deviation to Tawa Flat and on to Paekakariki. The capital cost involved in providing this is £277,000, of which £50,000 will be provided this financial year. In addition to these large railway works provision is made in the estimates for various minor improvement works and additional rolling stock. The net vote for Railways Improvements and Additions for the current year is £310,000. The erection of the railway-station building will be of considerable assistance to the building and allied trades, which will also benefit from the decision to go ahead with the erection of the Dunedin Post-office. This building will cost about £300,000 to complete, of which £20,000 is provided this financial year. The total estimated expenditure for this year on public; buildings, apart from the Wellington Railway-station, is £.196,000, including £75,000 on school buildings and £80,000 on mental hospitals, where the necessity for additional accommodation is urgent. For last year the total net expenditure amounted to £91,000. In regard to roads and highways, provision has been made for an expenditure of £260,000 out of Main Highways Construction Fund for bridges and other essential works, while £445,000 is provided on the Public Works Fund vote. Of this latter amount approximately £150,000 is for subsidies to local bodies, and the residue for general expenditure, including supervision and materials for relief works carried out in co-operation with the Unemployment Board. Further expenditure on roading is provided for out of the Main Highways Revenue Fund, the proposed vote of £1,000,000 including approximately £870,000 (an increase of £100,000 over last year's expenditure) for maintenance work. Altogether provision is being made for an increase of £270,000 in roading expenditure. Another major item in the capital programme is hydro-electric supply, for which £675,000 is provided on the estimates, being an increase of £310,000 over the amount expended last financial year. Two-thirds of the estimated expenditure for this year is in respect of the Waitaki River scheme, which, is now nearing completion, and will soon be in a position to take some of the extra load imposed on the older Lake Coleridge scheme. The completion of the Waitaki scheme will see the end of
Miscellaneous works.
Land development.
8.—6.
the major works at present contemplated, although extensions and other additional expenditure on all of the schemes will be necessary from time to time. For instance, £74,000 is being provided this year for various additions at Lake Coleridge, £45,500 for Mangahao-Waikaremoana scheme, including £24,000 for lake control, and £102,500 for Horahora-Arapuni. The latter item is for power station extensions and a transmission line to Stratford. I may add that the remedial measures following the hold-up at Arapuni have been successfully completed at well below the estimated cost. The revenue received by the Public "Works Department from hydro-electric schemes last year amounted to £864,630, and after providing for all expenses, including interest and ample depreciation, there was a small deficit of £1,077. In view of the slight falling-oil in demand and the necessity for maintaining a special stand-by plant to reduce the overload on the Coleridge plant, this result was satisfactory, and indicates that the financial position of the schemes as a whole is a sound one. Then there is £230,000 for telephone exchanges and various additions and improvements in connection with the telegraph and toll systems. Irrigation works in Central Otago mostly on the Omakau Dam and Race will absorb £80.000 during this year, while for drainage and other land improvement works it is estimated that £142,500 will be required. With assistance from the Unemployment Board it is anticipated that a considerable amount of useful work will be accomplished in the reclamation of valuable harbour flats in North Auckland, swamp drainage, river diversion, stop-banking, and various other works. As may be seen from the estimates, various smaller amounts are set down for other votes. To summarize the position, I may say that the capital programme amounts in the aggregate to £3,500,000, broadly made up as follows :— Public works, including provision for contingencies . . 2,590,000 Small farm plan .. .. ... •• 500,000 Additional capital for land development . . . . 200,000 Native land development .. .. •■ 135,000 Forestry .. .. .. •• •• 75,000 £3,500,000 LAND DEVELOPMENT. The additional capital provided for this purpose is being invested under the supervision of the Lands Development Board and satisfactory progress is being made under a programme aimed at the development of 26,000 acres of various blocks. Of this area some 16,000 acres are now in new grass, while a further 9,000 acres are in various stages of development. At times upwards of one thousand men have been engaged in fencing, roading, and cultivation, and at the present time over two hundred men are employed on the various blocks. Approximately £286,000 has been expended on development operations and on roading works, surveys, &c. One of the most interesting areas is the Ngakuru Block of over 14,000 acres, near Rotorua, where light pumice country, typical of large areas hitherto regarded as incapable of economic development, is being successfully converted into dairying land. Excellent pasture has been established, and the demonstration farm run on the block by the Lands Development Board has returned a profit after interest has been charged on the capital involved. The average butterfat return per cow on this farm was 239 lb. The block will provide about fifty dairy farms, and it is proposed to offer the bulk of the land for selection early next year. I might also mention that on the Galatea Estate of 22,000 acres a good deal of improvement work has been effected, and it is proposed to offer twenty sections in February, 1934, not less than thirty sections early in 1935, and a similar number in succeeding years until the whole estate has been settled. A demonstration farm is being established, and the remainder of the estate is at present being run as a mixed "farm with satisfactory results. The prospects for successful settlement of this estate are considered to be very bright.
12
Native land development.
Small farm plan.
8.-6.
In addition to developing large blocks of land prior to cutting up for settlement, advances are being made by the Lands Development Boaxd to individual settlers who have taken up undeveloped Crown land. To date approximately £188,000 has been advanced to 435 selectors, and the scheme, which is being closely supervised by the Board, is giving good results in the development of unimproved country and a consequent increase in production. Settlers generally are meeting the charges on their loans in a satisfactory manner. Development and improvement of Native lands is also being pushed forward, the work being carried out under two distinct systems according to the nature and size of the holdings and the willingness of the Native communities to co-operate in their efforts. In the North Auckland peninsula, for instance, where the Native lands are widely scattered in more or less small areas, the assisted unit system is adopted. Under this system, where the property is suitable for development, the occupier is provided with the materials required, and the development work is carried out under supervision, in most cases without wages or other payment, according to the plan of work laid out for him by the Department's field officers. The other system adopted, where there is a large area of unoccupied or partially occupied land, consists of development in a comprehensive manner by the Department's own workmen under the direction and supervision of departmental officers. The workmen are drawn from the owners of the lands being dealt with, but in some cases colonies of trained workmen have been introduced from other districts with the consent of the owners of the land in order that the local men may receive instruction in such work as fencing and cultivation. As it requires at least two years to bring virgin land to the point of production, the men thus receive an agricultural training for that period. When the land is ready for stocking with dairy herds, subdivision into suitable areas is proceeded with, and selected workmen placed on the sections as milkers on wages for another two years. The operations have not yet reached the third stage, which will consist of a further period as share milkers. All workmen will, it is anticipated, in this way receive a farm training over a period of five or six years, after which they are expected to be qualified to work their sections successfully. At the 31st March, 1933, there were 1,050 separate holdings in active production either under the assisted unit system or being carried on by selected wage milkers, and this number will be considerably increased each year as the development of the land now in hand is completed and selections are made ready for stocking. The number of cows being milked during the present season exceeds twenty thousand. The third phase of land development is being carried out under the small farm plan. As honourable members are aware, the object of this plan is the settlement of unemployed workers on the land, thereby providing them with a permanent occupation in our basic industries, where their efforts will indirectly assist in providing work for other persons at present unemployed. It has taken some time to overcome initial difficulties and get things moving. As from the opening of the current financial year, however, the administration of the scheme has been taken in hand by a Small Farms Board working in close collaboration with the existing organization in both field and office of the Lands and Survey Department. All suitable Crown land has been set aside for the purpose, but, unfortunately, there is not a great deal of idle Crown land that is suitable. Accordingly, for the success of the scheme, it is essential that private lands held in too large areas should be more readily made available, but to date the response by owners has been disappointing, and the Government may have to give consideration to recourse to the powers of compulsory acquisition provided for in the Small Farms (Relief of Unemployment) Act, 1932-33. In some cases where large areas are held the Board is reconditioning the deteriorated land, in consideration of which the owners cede portions to the Crown for settlement. The scheme is to be extended as much as possible. There is, however, one very satisfactory feature of the scheme, and that is the immediate absorption of unemployed on land development work. The Small
13
Unemployment.
Accounts.
Reproductive works.
Assistance to industry.
8.--6
Farms Board has in hand the improvement of areas aggregating 30,000 acres, which when subdivided should provide for over 280 families. In addition, it has in prospect for development some 13,000 acres, which should provide for the ultimate settlement of approximately 200 families. At the present time over four hundred men are engaged on development work, and, with the extension at present taking place, the coming summer should see upwards of eleven hundred men on definitely reproductive work. The number of sections ultimately available will, unfortunately, not be sufficient to cater for all the workers, but the future holders of the areas will be selected from those who have proved their ability during the development operations. Briefly summarized, the net results of the small farm scheme from its inception are as follow : — From April As at to Ist 15th April, November, 1933. 1933. Number of small holdings approved .. .. 488 179 Number of sharemilking applications approved . . 265 50 Number of individual holdings in prospect, including those on blocks being developed . . . . 480 753 709 Grand total .. .. .. .. 1,462 UNEMPLOYMENT FINANCE. The increasing magnitude of the problem necessitated a complete overhaul of the finances of the Unemployment Fund. The levy was reduced, and the contribution from the Consolidated Fund was abolished. On the other hand an emergency charge on salaries and wages and on other income was increased to give the Board the necessary revenue to carry out its functions. As a result the finances of the Unemployment Fund were, during 1932-33, entirely divorced from those of the Consolidated Fund and placed upon a self-contained basis. During the financial year a sum of £4,213,000 was available for the provision of unemployment relief. The principal sources of this revenue were £429,000 from the general unemployment levy, £2,471,000 from the emergency unemployment charge on wages and salary, and £1,120,000 from the emergency unemployment charge on income other than salary or wages. Against the receipt of £4,213,000, disbursements totalling £3,789,000 were made ; £3,689,000 of this expenditure being on providing unemployment relief under various schemes operated by the Unemployment Board. Administrative costs amounted to 2-47 per cent, on actual expenditure figures. With comparatively negligible exceptions, the disbursements on relief were by way of direct or indirect payments to relief workers in return for work performed, or by way of provision of food and accommodation. Particular attention is being paid to the desirability of utilizing as high a proportion as possible of unemployed relief labour on works of a reproductive quality, with the object of creating assets from unemployment relief expenditure. As examples of the practical results of this policy, I may mention the following useful works carried out with relief labour: 1,900 miles of backblock roads formed, metalled, and widened; 1,200 miles of farmland drains excavated; 158,000 acres of land cleared of scrub, bush, or logs; 6,000 acres of sand-dune land reclaimed; and 35,000 acres of trees planted. Simultaneously, as far as funds would permit, efforts have been made from time to time to stimulate flagging industries with a view of reopening avenues of private employment. The most extensive operation in this field was the institution of a temporary scheme offering a subsidy on wages in the building industry, which has special capabilities for the absorption of labour. During the period for which the scheme remained in force, works to the value of £1,450,000 were commenced. For an expenditure of £82,000 in subsidy on wages a sum of £1,180,000 is estimated
14
Revenue, 1933-34.
Superannuation funds.
8.—6
to have been released from private sources in the payment of wages to men engaged directly or indirectly on the new works. The good results attending this experiment led to the reintroduetion of the scheme on a more liberal basis; and it is expected that the private employment being created by this means will be a material factor in reducing the present weekly rate of commitments for unemployment relief. The present weekly rate of commitments is over £100,000, which is considerably in excess of the average weekly income of the Unemployment Board. With the recommencement of seasonal occupations in the spring and summer, together with the favourable influence anticipated from the effects of the subsidized building scheme, this rate of commitment can be lowered to enable the total expenditure over the year to be kept within the total income. It is estimated that the revenue which will become available to the Unemployment Fund during the financial year 1933-34 will be £4.300,000, made up as follows:— £ General unemployment levy .. .. 430,000 Emergency charge on wages and salary . . . . 2, 870, 000 Emergency charge on income other than salary or wages .. .. .. .. .. 1,000,000 £4,300,000 Honourable members will notice that the receipts during the present financial year from the emergency charge on wages and salary (generally known as the " wages-tax ") are estimated to show an increase of £400,000 over the past year. This advance is based on a steadily rising revenue which is now apparent from that source, and, in view of the fact that it points to a proportionate rise in the wages being received by the community as a whole, it has significance as a tangible indication of improving economic conditions. The per capita contribution of New Zealand taxpayers towards the relief of their unemployed fellow-citizens is higher than in most other countries, and the Government is pleased to be able to give an assurance that the present year's requirements for unemployment relief can be reasonably met by the financial resources to be derived from the present taxation. It is satisfactory to note that our unemployment finances are on a sound basis and that, contrary to the position existing in most other countries which have been afflicted with unemployment, the Dominion is meeting its obligations in this respect almost entirely out of revenue. When unemployment relief ceases to be a major canse of expenditure, assets and not interest debts will remain. STATE SUPERANNUATION FUNDS. As indicated in the Financial Statement for last financial year, the position of the superannuation funds is most unsatisfactory. Early action to stop the drift and place the funds on the way to financial stability is urgently necessary. A Bill was introduced last session to give effect to the recommendations of the National Expenditure Commission whereby in effect the burden of rehabilitating the finances of the three funds would be approximately halved as between the State and its employees. The Bill was referred to a Committee, but so voluminous was the evidence offered that nothing further could be done before the session closed. As was to be expected, the proposals put forward have been criticized from various angles, and in this respect there is to some extent a conflict of interest between those already retired on superannuation and the present contributors to the funds, the latter naturally being more interested in the ultimate position of the funds than are the superannuitants. Still, the facts to be faced are that action must be taken to meet the situation, and that the whole cost of placing the funds in a sound position cannot possibly be provided out of taxation. Alterations as to rights and conditions are therefore unavoidable, but I feel a tremendous responsibility in making alterations other than
15
Budgetary position for 1933-34.
Eeonomy measures.
Liquidation of reserves.
Revenue.
Income-tax.
Stamp duties.
8.—6
by consent of those who are affected thereby. To facilitate progress, I have arranged a conference with the various organizations principally concerned, and following this, it is hoped that general agreement will be reached as to the action to be taken to rehabilitate the funds. BUDGETARY POSITION. The matters already referred to, and, in fact, all the financial operations of the State, are reflected directly or indirectly in the annual Budget, As the concluding section of my survey I now wish to review the budgetary position for the current financial year. A forecast of the position was the subject-matter of a statement presented to the House in January last, following which immediate steps were taken to meet the situation in so "far as it lay within our power to do so without unduly hampering general recovery or breaking down the State services. Firstly, efforts have been made to effect still further economies in expenditure, but, after* the successive drastic overhauls that have taken place during the last few'years culminating in the review of the National Expenditure Commission, it has to be recognized, that we have practically reached the limit in that direction. The relief to the Consolidated Fund from savings and adjustments in expenditure was set out in my January statement, and these items, together with underexpenditure of appropriations for last financial year, previously referred, to, meant a total saving of the order of £10,000,000. Needless to say, rigorous control of expenditure will be maintained, and efforts to obtain any further economies will be continued. In many instances, however, economies that are possible for one or two years cannot be continued indefinitely, and slight increases in various directions have already been necessary on this account. For instance, expenditure on repairs and replacements may be light for a year or two, but obviously cannot be curtailed indefinitely. Secondly, arrangements have been made with the Bank of New Zealand to liquidate this year a further £2,000,000 of reserves invested in Discharged Soldier Settlement mortgages by advancing against hypothecation of the securities. Finally, a sales tax'and the gold export duty were imposed, while increases were made in the Customs duties on motor-spirit, tobacco, and sugar. Having regard to these increases in taxation, the upward trend in prices and other indications here and abroad that conditions are slowly improving, the revenue prospects are somewhat brighter than they appeared in January last. The revenue for the first half of the year is, of course, now definitely ascertained. Under the revised estimates it is" anticipated that receipts from taxation will amount to £16,214,000, an increase of £609,000 over receipts for last year. Under the various headings of taxation additional revenue compared with last year will, it is estimated, be obtained as follow : From Customs, £69,000 ; sales tax, £] ,712,000 ; gold export duty, £124,000 ; and miscellaneous items, £49,000 : a total of £1,954,000. Against this must be set off decreases under other headings aggregating £1,345,000. The heaviest fall is anticipated under the heading of income-tax. Receipts for last year exceeded expectations, but were £891,000 less than for 1931-32. For this year a further drop of £857,000 is expected, making a total decrease of £1,748,000, or over one-third of the revenue in two years. This heavy shrinkage illustrates the budgetary difficulties with which we have to contend. The estimate for land-tax is now down to £450,000, a decrease of £49,000 as compared with last year's receipts. Two years ago £1,146,000 was received under this heading, the two-thirds reduction being due to the abolition of the graduated, land-tax, lower land values, and inability to collect the tax in a number of cases. Stamp and death duties show a comparative decrease of £399,000, but £240,000 of this is due to the abolition of the stamp duty on interest on Government securities consequent upon the conversion operations. Otherwise the decrease is on account of death duties and is attributable to fall in the value of properties. The highways revenue from petrol-tax, tire-tax, and fees and fines has been less affected by "prevailing conditions than other items, but a decrease of £30,000 has been allowed for.
16
Interest receipts.
Other receipts.
Estimated expenditure.
Interest saving.
Funded debt.
8.—6.
In regard to interest receipts, the position is better than formerly anticipated, there being now an estimated net decrease of £90,000 only. The decline in railway revenue now appears to have been checked, and the estimated decrease in interest payments to the Consolidated Fund is now only £59,000. For the balance of the net decrease lower interest rates for temporary investments of moneys in London are responsible. In the third revenue group, " Other Receipts," there is an estimated comparative shrinkage of £780,000, of which £500,000 is due to the fact that assistance from reserves this year will amount to £2,000,000, as against £2,500,000 for last financial year. The balance of £280,000 represents a further shrinkage in departmental receipts, the principal item concerned being Post and Telegraph profits, where the estimated decrease is £206,000. All told, the estimated revenue for the year falls £263,000 short of the actual receipts for last year. ESTIMATED EXPENDITURE. On the other side of the picture we have first to make provision for £555,000 additional debt charges. The automatic increase under the statutory debt-repayment scheme accounts for £75,000, and payment of guaranteed loans of Land Settlement Associations £54,000. These loans have been met on maturity, but it is anticipated that a considerable proportion of the amount will be recovered in due course. The largest contributing item, however, is an increase of £415,000 in interest charges. The gross annual saving in interest as a result of the conversion operations is approximately £1,010,000, but the full benefit will not be received during the current financial year. The whole of the accrued interest on 31st March on the internal debt has, pursuant to the conversion arrangements, been the subject of special payment this financial year. Owing to the changes in interest dates, a full year's interest on a portion of the debt affected will be paid in addition. In other words, the accrued interest as at 31st March next on the debt subject to conversion will be £490,000 less than was paid on this account up to the 31st March last. To this extent the full benefit will not be received during this financial year, but the amount so lost will, of course, be saved in subsequent financial years. Redemptions effected mean a saving in interest charges of £135,000, but against this provision to the extent of £100,000 has to be made for interest charges on new loans to finance the capital programme already referred to. In addition, much more use will have to be made this year of short term borrowing on Treasury bills. The additional interest on the floating debt for the year is estimated at £690,000. Furthermore, recoveries of interest from the State Advances and other accounts will be less as the benefit from conversion, in so far as it affects the capital of those accounts, passes automatically to them, the amount recovered being based on the interest payable. As against this, a portion of the charges on the new loans will be recovered. The net comparative decrease in recoveries is £280,000. Taking all these factors into consideration, the net result, as already indicated, is an increase of £415,000 in interest charges for the year. I may add that, following the Hoover moratorium, payments under our fundeddebt agreement with the British Government were suspended and, as indicated in last year's Budget, the period of suspension was extended into this financial year. The question is to some extent bound up with that of the British war debt to America, which is at present the subject of negotiation and discussion, and it is not proposed to make any provision in the meantime for payments under the funded debt agreement. Under the balance of the permanent appropriations the expenditure this year will be much the same as for last year, except for the large amount required to provide for the payment of exchange on the London credits purchased from the banks for normal requirements.
3—B. 6.
17
Highways revenue.
Exchange requirements.
Surplus sterling assets.
Exchange rate.
Use of surplus sterling assets.
8.—6.
Concerning highways revenue, it will be recollected that legislative provision has been made to retain up to £500.000 for general use in the Consolidated Fund, but, in doing so, steps have been taken to ensure that the Highways Board is provided with sufficient funds for maintenance and other essential work. The raising of the exchange rate, while clearly necessary as a step in economic adjustment, has the effect of increasing Government expenditure, as measured in New Zealand currency, on external debt charges. This was anticipated when the rate was raised, and full provision is made in the year's estimates to cover the item. The amount required to meet interest and other payments in London is estimated at £7,250,000, while about £1,250,000 will be utilized in Australia. The latter item will not call for additional expenditure, as the exchange costs will be recovered in remitting from London to Australia, where the currency is similarly depreciated 25 per cent, below sterling. The exchange cost on London requirements is estimated for the current financial year at £1,790,000. During the half year ended on 30th September, London funds purchased from the banks amounted to £13,345,000, but from this must be deducted the £8,500,000 required for use in London and Australia, leaving £4,845,000 as surplus sterling assets. This last amount is greater than it should have been owing to the cumulative effect of a number of factors, among which I may mention the remittance of funds to New Zealand in advance of export requirements and the holding back and temporary avoidance of purchasing exchange on the part of importers and others who normally would have remitted funds from New Zealand during the period in question. In due course these outside factors will even themselves out, and there is some evidence that the reflex action is already started. For instance, I know of several cases where substantial sums formerly held back are now being remitted. The situation has been aggravated by unfounded rumours started from time to time to the effect that a fall in the exchange rate is about to occur. This state of uncertainty is bad for business, as merchants hesitate at the risk of being caught by a sudden fall in the rate. There is, however, no reason for such, uncertainty, as the measure of assistance given through the adjustment of the exchange rate must be maintained in present circumstances, and even if economic conditions change so radically as to warrant a reduction in the rate this will, as far as practicable, be so arranged as to avoid hardship. To remove the uncertainty in regard to the matter, the Government has decided that the exchange rate will be kept at the present level until at least the end of the present export season. This does not mean that, at the end of the season, the rate will be reduced or that it will not be increased. It does mean, and it means definitely that, in the absence of abnormal world developments which cannot now be foreseen, the rate will not be reduced prior to that date. This assurance has been given to remove any doubts on the matter. It is an assurance that concerns not only producers but all who have financial obligations to meet in the United Kingdom. The surplus London assets taken over under the guarantee arrangement will in no way embarrass the Government. The intention is to utilize the funds through the machinery of the Reserve Bank to pay off the Treasury bills issued to the Banks in New Zealand in payment for those assets; in other words, the London funds have been acquired in exchange for Treasury bills, and as soon as the Reserve Bank commences operations it will, in effect, be possible to reverse the process and use the London funds to pay off bills. In handing over the sterling assets to the Reserve Bank, adequate precautions will be taken to ensure that the financial position of the Bank will not be prejudiced in any way. It would be manifestly improper to place upon the new Bank the risk of loss through variations in the exchange rate on funds transferred to it at its commencement. Thus the net cost of the exchange indemnity arrangement cannot be known until either all the London funds in question are sold by the Reserve Bank or stabilization of the currency takes place. It would be premature at this stage to contemplate any loss arising; indeed, in certain circumstances the ultimate result might be a net gain. But the point to be emphasized is that the risk—be it large or small—will not be borne by the Reserve Bank. That is the Government's responsibility. In the meantime, the outlay in purchasing surplus sterling assets must be regarded as a suspense item outside the normal budget for the year.
18
Benefit to Reserve Bank.
Annual appropriations.
Defence vote.
Expenditure summary.
8.—6.
I may add that the London assets in question will be very useful indeed to the Reserve Bank as it will give that institution, from its commencement, a commanding position in our banking system which otherwise it probably would not have acquired for some time. Under annual appropriations a net increase of £162,000 is shown. As a reflex of present economic conditions applications for pensions, particularly old-age pensions and family allowances, are more numerous, and for this reason it has been necessary to increase the " Pensions " vote by £150,000. To compensate the Railways Department for the reduced freights on farm products, referred to in my opening remarks, a new item of £165,000 has been included in vote " Agriculture," but the net increase to the vote as a whole is only £98,000, reductions having been made in other items. There is also an increase of £43,000 in the " Naval " vote, due to the fact that both cruisers will be in commission for the full year. For the " Military " vote an increase of £21,000 is shown on the main estimates, but I may say here that it will be necessary to provide an additional £52,000 on the supplementary estimates. For purposes of economy the expenditure on land and air defence has been severely curtailed during the last three years, the amount expended last year being only £208,000, as against £455,000 in *1929-30. As a result adequate provision could not be made for many essential repairs and replacements It is now felt, however, that the time has come when some additional expenditure on defensive measures can no longer be postponed if this country is to be enabled to play a, worthy part in its own defence and to co-operate to any extent in the general scheme of Imperial defence. The National Expenditure Commission, in reporting upon the " Defence" Vote, pointed out that New Zealand's outlay on land and air defence was the lowest per capita in the British Empire, and recommended to the Government that the Dominion should review the question of its defences as soon as financial considerations would permit, with a view to this country taking an adequate and proportionate share in the burden of Empire defence. The Government has accordingly resolved upon measures which will eventually have the effect of substantially strengthening the defences of the Dominion. The preliminary steps to be taken will result in comparatively little expenditure before the 31st March next, but during subsequent years the country must be prepared to face some increase of expenditure on defence measures. Every care will be taken, however, to keep the cost within reasonable limits. Under other votes it will be seen that there are various small increases and decreases, but the large increases that I have referred to are partly offset by some substantial reductions including £203,000 under vote " Internal Affairs." The latter reduction is due to the elimination from the vote of provision to reimburse the State Advances Account for the loss on mortgage interest arising out of the statutory reduction under the National Expenditure Adjustment Act. This provision, which was necessary to keep that account in a sound position, is now covered by the relief accruing as a resu t of the conversion of part of the loan capital of the Office to lower interest rates. The Budget estimates of expenditure may be summarized as follows : — £ Debt services .. .. .. .. . . 10,445,000 Exchange on normal requirements . . . . 1,790,000 Transfer of motor-taxation .. .. . . 1,179,000 Other permanent appropriations . . . . 340,000 Annual votes — Social services . . . . . . . . 6,900,000 Other votes . . . . . . . . 3,597,000 £24,251,000
19
Revenue summary.
Budgetary position.
8.—6
In addition, probably about £150,000 will have to be allowed for supplementary estimates and contingencies. The estimated revenue is as follows : — Taxation — .. • • • • £ £ Customs 6,200,000 Beer duty .. .. •• 650,000 Sales tax 1,750,000 Gold-export duty .. .". 140,000 Highways .. .. •• 1,650,000 Stamp and death duties .. . . 2,600,000 Land-tax .. .. .. 450,000 Income-tax 2,700,000 Miscellaneous .. .. •• 74,000 16,214,000 Interest receipts .. . . • • • • 2,551,000 Other receipts .. . • •• •• 1,541,000 From reserves .. .. •• •• 2,000,000 £22,306,000 The estimated budgetary position at the 31st March next is thus :— Expenditure 24,400,000 Eevenue 22,306,000 Shortage £2,094,000 The actual deficit that accrues at the end of the year will have to be carried forward in the form of floating debt, but I would point out that the estimates of expenditure include £1,366,000 for repayment of debt under the statutory debt repayment scheme. Thus the net increase in debt as a result of the year's operations on the basis of the estimates will be about £750,000 only. As already explained, this estimated shortage for the year does not, and indeed cannot, take into consideration the ultimate result that will accrue from disposal of the surplus sterling assets acquired under the exchange indemnity arrangements. Budgeting for a deficit cannot be regarded as satisfactory, and in normal times such a course would be inexcusable. At present, however, we are driven to it by the adversity of circumstances over which we have no control. If it is not to add to our troubles we must keep the budgetary position within safe limits, and as a result of tremendous efforts and heavy sacrifices manfully borne by the people this has been accomplished. Further than this Ido not think it wise to go m present circumstances. Our intention is to reach budgetary equilibrium at the earliest possible moment; but to have attempted to achieve a balance this year, either by increasing taxation or by further slashing expenditure, would have involved a far greater strain on the internal structure of the country than would have been advisable in present circumstances. It is accordingly not proposed to make any further increases in taxation, but, on the other hand, it will be clear from the position I have outlined that reductions in taxation are out of the question at present. We may justifiably hope, however, that the time is not far distant when we shall be able to take action m that direction. . . When in due course we come to look back upon these times it will be recognized that three measures which have been taken, however contentious they may have been when initiated, stand out as landmarks along the road to recovery. These are — (1) The adjustment of the exchange rate ; (2) The conversion of the whole internal debt, with related measures for stabilizing interest rates at lower levels ; and (3) The establishment of the New Zealand Eeserve Bank. In the meantime the essential fact is that the depression is passing, and, though much remains to be done to complete the work of restoration, we can go forward with lighter hearts buoyed up with the prospect of better times ahead.
20
B—6
TABLES TO ACCOMPANY THE FOREGOING STATEMENT. Page Table No. 1, —Abstbact of Receipts and Expenditure of the Financial Year ended 31st Maech, 1933. See Parliamentary Paper 8.-l [Part I]. Table JSTo. 2.—The Public Debt on 31st March, 1933. See Parliamentary Paper 8.-l [Part lII]. Table No. 3.—Revenue for the Year ended 31st March, 1933, compared with the Year ended 31st March, 1932 .. .. .. .. .. .. .. ii Table No. 4, —Comparative Statement or the Estimated and Actual Revenue of the Consolidated Fund (Ordinary Revenue Account) for the Financial Year ended 31st March, 1933 .. ■.. .. .. .. .. .. .. .. .. iii Table No. 5. —Estimated Revenue for 1933-34, compared with the Actual Revenue for. 1932-33 .. iv Table No. 6. —Stamp and Death Duty Revenue for the Year ended 31st March, 1933, compared with the Year ended 31st March, 1932 .. .. .. .. .. iv Table No. 7.—Statement of the Customs Duties collected for 1932-33, compared with 1931-32 .. v Table No. 8. —Statement of the Actual Net Expenditure of the Consolidated Fund (Ordinary Revenue Account) for the Financial Year ended 31st March, 1933, compared with the Year ended 31st March, 1932 .. .. .. .. .. v Table No. 9.—Comparative Statement of the Appropriated and Actual Expenditure of the Consolidated Fund (Ordinary Revenue Account) for the Financial Year ended 31st March 1933 .. .. .. .. .. .. .. .. vii Table No. 10.—Estimated Net Expenditure for 1933-34, compared with the Actual Net Expenditure for 1932-33 .. .. .. .. .. .. .. .. ix Table No. 11.—Statement showing how Accumulated Surpluses have been applied .. .. x Table No. 12. —Public Works Fund—Statement showing Net Expenditure under Appropriations for the Year ended 31st March, 1933, compared with the Yeak ended 31st March, 1932 xi Table No. 13. —Statement showing the Total Ways and Means of the Public Works Fund, General Purposes Account, and the Total Net Expenditure to 31st March, 1933 .. xii Table No. 14.—Statement showing the available Financial Resources of the various Accounts on the 31st March, 1933, as compared with the 31st March, 1932 .. .. .. xiv Table No. 15. —Statement showing the Amount charged to " Unauthorized " in each Financial Year from Ist April, 1923, to 31st March, 1933 .. .. .. .. .. xiv Table No. 16. —State Balance-sheet as at 31st Mabch, 1932 .. .. .. .. .. xv Table No. 17.—Statement showing Maturity Dates and Domicile of Debt outstanding as at Ist April, 1933 .. .. .. .. .. .. .. .. .. xvi Table No. 18. —Statement of Half-yearly Instalments of Principal and Interest for Repayment of Debt funded with Imperial Government .. .. .. .. .. xvii Table No. 19. —Education Expenditure—Total Expenditure on Education out of Public Funds since 1913-14 .. .. .. .. .. .. .. .. .. xvii Table No. 20. —Statement of Amounts paid on account of Pensions for the Financial Years ended 31st March, 1929 to 1933 .. .. ~ ~ ... .. .. xviii Table No. 21. —Statement showing Imports and Exports of the Dominion in each Financial Year ended 31st March, 1924 to 1933 . .. .. .. .. -. . . xix Copy of Prospectus of New Zealand Conversion Loan, 1933 .. .. •. .. . • xix
i—B. 6.
8.—6.
Table No. 3. Revenue for the Year ended 31st March, 1933, compared with the Year ended 31st March, 1932.
II
Year ended Year ended 31st March, 31st March, Increase. Deorease. 1933. 1932. Taxation- £ £ £ £ Customs .. j 6,131,414 5,904,348 227,066 Beer duty 654,227 641,080 13,147 Sales tax 38,253 .. 38,253 Film-hire tax 30,102 41,207 | .. 11,105 Gold-export duty.. .. .. .. 15,636 .. 15,636 Highways 1,680,605 1,814,186 .. 133,581 Stamp and death duties 2,999,278 2,799,204 200,074 Land-tax 498,916 542,128 .. 43,212 Income-tax .. .. .. 3,556,775 4,447,814 .. 891,039 Total—Taxation .. .. .. 15,605,206 16,189,967 494,176 1,078,937 Interest — On capital liability— Working railways 850,544 841,720 8,824 Postal and telegraph : 546,000 550,000 .. 4,000 On Public Debt Redemption Fund .. 620,089 699,790 .. 79,701 On other public moneys .. .. .. 625,077 776,628 .. 151,551 Total—Interest .. .. .. 2,641,710 2,868,138 8,824 I 235,252 Other receipts — Registration and other fees .. .. 197,380 199,032 .. 1,652 National-endowment revenue .. .. 81,732 79,824 1,908 Territorial revenue .. .. .. 153,812 153,894 .. 82 External affairs .. .. .. .. 80,076 .. 80,076 Justice .. .. .. .. ■• 170,234 180,111 .. 9,877 Marine .. .. .. .. .. 131,473 93,930 37,543 Native 4,975 5,519 .. 544 Post and Telegraph Department profits .. 456,000 941,616 .. 485,616 Printing and Stationery .. .. .. 154,768 170,529 .. 15,761 Stamp duties .. .. .. .. 40,900 49,538 .. 8,638 Tourist and Health Resorts .. .. 60,179 59,985 194 Miscellaneous .. .. .. .. 264,679 228,693 35,986 Recoveries on account of expenditure of 25,397 4,132 21,265 *.. previous years From reserves .. .. .. .. 2,500,000 1,494,825 1,005,175 Total—Other receipts .. .. 4,321,605 3,661,628 1,182,147 522,170 1,685,147 1,836,359 1,685,147 Totals 22,568,521 22,719,733 .. 151,212
8.-6.
Table No. 4. Comparative Statement of the Estimated and Actual Revenue of the Consolidated Fund (Ordinary Revenue Account) for the Financial Year ended 31st March, 1933.
III
Difference. Estimate for Actual for 1932-33. 1932-33. More . Less Taxation— £ £ £ £ Customs .. .. .. .. 5,700,000 6,131,414 431,414 Beer duty .. .. .. .. 640,000 654,227 14,227 Sales tax .. .. .. .. .. 38,253 38,253 Film-hire tax .. .. .. .. 35,000 30,102 .. 4,898 Gold-export duty.. .. .. .. .. 15,636 15,636 Highways .. .. .. .. 1,610,000 1,680,605 70,605 Stamp and death duties .. .. .. 2,900,000 2,999,278 99,278 Land-tax .. .. .. .. 515,000 498,916 16,084 Income-tax .. .. .. .. 3,400,000 3,556,775 156,775 Total—Taxation .. .. .. 14,800,000 15,605,206 826,188 20,982 Interest— On capital liability— Working railways .. .. .. 740,000 850,544 110,544 Postal and telegraph .. .. .. 540,000 546,000 6,000 On Public Debt Eedemption Fund .. 645,000 620,089 24,911 On other public moneys .. .. .. 625,000 625,077 77 Total—Interest .. .. .. 2,550,000 2,641,710 116,621 24,911 Other receipts— Eegistration and other fees .. .. 160,000 197,380 37,380 National-endowment revenue .. .. 65,000 81,732 16,732 Territorial revenue .. .. .. 147,000 153,812 6,812! External Affairs .. .. .. .. 82,000 80,076 1,924 Justice .. .. .. .. .. 174,000 170,234 .. 3,766 Marine .. .. .. .. .. 124,000 131,473 7,473 Native .. .. .. .. .. 5,000 4,975 .. 25 Post and Telegraph Department profits .. 470,000 456,000 14,000 Printing and Stationery .. ... .. 155,000 154,768 .. 232 Stamp duties .. .. .. .. 50,000 40,900 9,100 Tourist and Health Resorts .. .. 58,000 60,179 2,179 Miscellaneous .. .. .. .. 270,000 264,679 5,321 Recoveries on account of expenditure of 20,000 25,397 5,397 previous years From reserves .. .. .. .. 2,500,000 2,500,000 Total—Other receipts .. .. 4,280,000 4,321,605 75,973 34,368 1,018,782 80,261 80,261 Total revenue .. .. .. 21,630,000 22,568,521 938,521
8.-6.
Table No. 5. Estimated Revenue of the Consolidated Fund (Ordinary Revenue Account) for the Year ended 31st March, 1934, compared with the Actual Revenue received for the Year ended 31st March, 1933.
Table No. 6. Stamp and Death Duty Revenue for the Year ended 31st March, 1933, compared with the Year ended 31st March, 1932.
IV
Estimate j Actual Diffeiences. for | for : 1933-34. 1932-33. Increase. Decrease. I Taxation— £ £ £ £ Customs • -■ • *• 6,200,000 6,131,414 68,586 Beer duty . •• •• •• 650,000 654,227 .. 4,227 Sales-tax.. .. .. .. .. 1,750,000 38,253 1,711,747 Film-hire tax . . ■ > ■ 25,000 30,102 .. 5,102 Gold-export duty .. .. .. .. •• 140,000 15,636 124,364 Highways .. .. . 1,650,000 1,680,605 .. 30,605 Stamp and death duties .. .. .. 2,600,000 2,999,278 .. 399,278 Land-tax .. .. .. ■■ 450,000 498,916 .. 48,916 Income-tax .. ■ •• 2,700,000 3,556,775 .. 856,775 Miscellaneous .. . . .. • • • ■ 49,000 .. 49,000 Total —Taxation .. 16,214,000 15,605,206 1,953,697 1,344,903 Interest — On capital liability— Working Railways .. 791,000 850,544 .. 59,544 Postal and Telegraph .. . . 550,000 546,000 4,000 On the Public Debt Redemption Fund .. 645,000 620,089 24,911 On other public moneys .. .. .. .. 565,000 625,077 .. 60,077 Total—Interest .. .. 2,551,000 2,641,710 28,911 119,621 Other receipts— Registration and other fees .. .. .. .. 208,500 197,380 11,120 National-endowment revenue .. .. .. 115,000 81,732 33,268 Territorial revenue .. .. .. .. 180,000 153,812 26,188 External Affairs .. .. .. .. .. 80,000 80,076 .. 76 Justice .. .. .. . .. 160,000 170,234 .. 10,234 Marine .. .. .. .. . . .. 131,310 131,473 .. 1.63 Native .. .. .. .. .. .. 5,000 4,975 25 Post and Telegraph l)ei>artment profits . . .. 250,000 456,000 . . 206,000 Printing and Stationery .. .. 155,000 154,768 232 Stamp duties .. . . . . .. .. 40,000 40,900 .. 900 Tourist and Health Resorts .. .. .. .. 62,000 60,179 1,821 Miscellaneous .. .. .. .. 150,000 264,679 .. 114,679 Recoveries on account of expenditure of previous years. . 4,000 25,397 .. 21,397 From reserves .. .. .. .. .. 2,000,000 2,500,000 .. 500,000 Total —Other receipts .. 3,540,810 4,321,605 72,654 853,449 2,055,262 2,317,973 2,055,262 Totals .. .. .. .. 22,305,810 22,568,521 .. 262,711
Year Ended 31st March, Item. Increase. Decrease. 1933. 1932. - £ £ £ £ Adhesive stamps .. .. 70,104 104,057 .. 33,953 Duty on instruments .. 192,179 228,974 .. 36,795 Estate and succession duty .. 1,469,826 1,395,083 74,743 Gift duty .. .. 41,869 49,216 .. 7,347 Impressed stamps, and duty on 168,709 174,470 .. 5,761 cheques Stamp duty on interest .. 309,132 .. 309,132 Company licenses .. .. 83,910 85,351 .. 1,441 Sharebrokers'licenses .. 1,583 1,521 62 Bank-note duty .. .. 268,122 260,206 7,916 Totalizator revenue .. .. 302,371 410,878 .. 108,507 Amusements-tax .. .. 53,564 74,763 .. 21,199 Lottery duty .. .. 17,306 9,661 7,645 Overseas-passenger duty .. 18,246 1,668 16,578 Rates, fines, and miscellaneous 2,357 3,356 .. 999 416,076 216,002 216,002 Totals .. .. 2,999,278 2,799,204 200,074
8.—6.
Table No. 7. Statement showing Customs Duties collected for Year 1932-33, compared with the Year 1931-32.
Table No. 8. Statement of the Actual Net Expenditure of the Consolidated Fund (Ordinary Revenue Account) for the Financial Year ended 31st March, 1933, compared with the Financial Year ended 31st March, 1932.
V
1932-33. 1931-32. Inorease. Deorease. £ £ £ £ Spirits, wine, and beer .. .. .. 709,739 796,403 .. 86,664 Tobacco, cigars, and cigarettes .. .. 1,618,537 1,518,244 100,293 Apparel and textiles .. .. .. 853,553 897,945 .. 44,392 Motor-vehicles and parts* . .. .. 117,739 142,267 .. 24,528 Other goods .. .. .. .. 2,106,823 1,725,377 381,446 Primage and surtax .. .. .. 725,023 824,112 j .. 99,089 Totals .. .. .. 6,131,414 5,904,348 481,739 254,673 254,673 227,066 * Excluding tire-tax and petrol-tax earmarked to Main Highways.
Year ended Year ended 31st March, 31st March, Increase. Decrease 1933. 1932. Permanent Appropriations:— £ £ £ £ Under special Acts of Legislature,— Civil List .. .. .. .. .. 22,184 26,821 .. 4,637 Debt Services—■ Interest .. .. .. .. -■ 8,498,681 9,035,025 .. 536,344 Amortization of debt — Sinking fund .. .. .. ■• 9,855 3,251 6,604 Repayment of funded debt .. .. .. 220,741 .. 220,741 Repayment of Public Debt Act, 1925 .. 1,291,182 1,190,729 100,453 Transfers to Loans Redemption Account .. 7,408 6,420 988 Securities redeemed .. .. .. .. 610 .. 610 Administration and management .. .. 48,029 38,168 9,861 Payments on guaranteed loans .. ■• 34,860 17,045 17,815 Total—Debt Services .. .. .. 9,890,015 10,511,989 135,721 757,695 Grants and Subsidies— Hospital and charitable institutions .. .. .. 642,809 .. 642,809 Education.. .. .. .. .. 51,938 158,873 .. 106,935 Superannuation Funds and National Provident .. 198,749 .. 198,749 Fund Contribution towards Singapore Naval Base .. 100,000 100,000 Unemployment Fund .. .. .. .. 1,118,753 .. 1,118,753 Subsidies to local bodies for unemployment relief .. 11,478 .. 11,478 works Miscellaneous .. .. .. .. 31,668 54,730 .. 23,062 Salaries and honoraria .. .. .. 59,133 93,220 .. 34,087 Pensions — Family allowances .. .. .. .. .. 90,100 .. 90,100 Old-age pensions .. .. .. .. 22,259 1,277,107 .. 1,254,848 Widows'pensions .. .. .. .. .. 340,162 .. 340,162 War pensions .. .. .. .. .. 1,261,778 .. 1,261,778 Other pensions .. .. .. .. 1,833 106,268 .. 104,435 Motor-taxation — Transfers to Main Highways Account .. 1,059,941 1,685,977 .. 626,036 Paid to boroughs .. .. .. .. 98,591 100,541 .. 1,950 Expenses of collecting, &o... .. .. 21,175 21,148 27 Advances .. .. .. .. .. 11,991 2,433 9,558 Other special Acts — Cost of exchange on the purchase from banks of 470,338 .. 470,338 surplus exchange in London Compensation for stock destroyed or condemned .. 23,236 .. 23,236 Exchange on remittances of public moneys to or 342,113 .. 342,113 from countries overseas* Miscellaneous .. .. .. .. 10,029 28,290 .. 18,261 Total—Other Servicesf .. .. 2,281,009 7,315,652 822,036 5,856,679 Total—Permanent Appropriations .. 12,193,208 17,854,462 957,757 6,619,011 • The corresponding expenditure for the year 1931-32 appears under " Emergency Expenditure," page iv. t Expenditure on many items previously shown under this head now appears under " Annual Appropriations."
8.—6.
Table No. 8—continued. Statement of the Actual Net Expenditure of the Consolidated Fund (Ordinary Revenue Account) for the Financial Year ended 31st March, 1933, compared with the Financial Year ended 31st March, 1932 — continued.
VI
Year ended Year ended 31st March, 31st March, Increase. Decrease. 1933. 1932. Annual Appropriations: — £ £ £ £ Vote,— Legislative 86,787 98,046 .. 11,259 Prime Minister's Department.. .. .. 22,1.81 15,374 j 6,807 Finance — Treasury .. .. .. .. 27,259 37,385 .. 10,126 Customs 78,235 86,282 .. 8,047 Land and Income Tax 62,395 68,202 .. 5,807 Stamp Duties 77,966 97,394 .. . 19,428 Audit .. .. .. ■■ 19,767 24,505 .. 4,738 Total—Finance 265,622 313,768 .. 48,146 General Administration — Public Service Commissioner's Office .. .. 4,290 4,666 .. 376 Internal Affairs 523,418 196,841 326,577 External Affaire 83,094 1,956 81,138 Printing and Stationery .. .. .. 122,566 138,044 .. 15,478 Marine .. .. •• •■ 91,754 101,975 .. 10,221 Labour 42,822 41,475 1,347 Native 56,744 65,708 .. 8,964 Valuation 29,997 38,900 .. 8,903 Electoral 5,924 66,120 .. J 60,196 Total—General Administration .. 960,609 655,685 409,062 104,138 Law and Order — Justice 161,258 139,806 21,452 Crown Law Office .. .. .. .. 4,451 5,143 .. 692 Police 426,988 413,821 13,167 Prisons .. .. ■■ ■■ 90,528 96,713 .. 6,185 Total—Law and Order .. .. 683,225 655,483 34,619 6,877 Defence — Naval Defence 362,094 344,674 17,420 Defence .. .. ■• •• ■• 207,827 182,974 24,853 Total—Defence .. .. .. 569,921 527,648 42,273 Maintenance — Public Buildings 35,223 41,683 .. 6,460 Maintenance and Repairs to Roads .. .. 5,046 9,917 .. 4,871 Maintenance of Irrigation Works, &c. .. .. 12,102 12,818 .. 716 Total—Maintenance .. .. 52,371 64,418 .. 12,047 Development of Primary and Secondary Industries — Lands and Survey 144,911 162,888 .. 17,977 Agriculture 555,614 440,630. 114,984 Industries and Commerce, Tourist, and Publicity 61,227 122,954 .. 61,727 Scientific and Industrial Research .. .. 51,768 51,535 233 Mines 20,802 18,679 2,123 Transport! •• 17,195 4,813 12,382 Total—Development of Primary and 851,517 801,499 129,722 79,704 Secondary Industries Social Services — Health •• •• 708,449 199,387 509,062 Mental Hospitals 240,047 264,428 .. 24,381 Education.. 2,620,226 2,851,922 .. 231,696 p ens i ons 3,139,225 160,564 2,978,661 National Provident and Friendly Societies .. 89,266 4,697 84,569 Total—Social Services .. .. 6,797,213 3,480,998 3,572,292 256,077 Unauthorized Expenditure,— Services not provided for 45,725 18,698 27,027 Public Revenues Act, 1926, Section 59, — Emergency Expenditure Account — Cost of exchange on remittances to London .. 374,473 .. 374,473 Total—Annual Appropriations .. 10,335,171t 7,006,090 4,221,802 892,721 Total Expenditure .. .. .. 22,528,379 24,860,552 5,179,559 7,511,732 2,332,173 • The corresponding expenditure for 1932-33 appears under " Permanent Appropriations, Exchange on Bemittances." t Expenditure on many of the votes now appearing under this head was previously shown under " Permanent Appropriations. The apparent increase in expenditure is more than counterbalanced by the decrease under the latter head.
8.—6.
Table No. 9. NET EXPENDITURE. Comparative Statement of the Appropriated and Actual Expenditure of the Consolidated Fund (Ordinary Revenue Account) for the Financial Year ended 31st March, 1933.
VII
Net Actual Net Difference. Appropriations, Expenditure, 1932-33. 1932-33. More _ LessPermanent Appropriations :— £ £ £ £ Under Special Acts of the Legislature, — Civil List .. .. .. .. .. .. 22,354 22,184 .. 170 Debt services— Interest .. .. .. .. .. .. 8,615,821 8,498,681 .. 117,140 Amortization of Debt — Sinking Fund .. .. .. .. .. 8,748 9,855 1,107 Repayment of Funded Debt Repayment of Public Debt Act, 1925 .. .. 1,309,198 1,291,182 .. 18,016 Transfers to Loans Redemption Account . . .. 8,500 7,408 . . 1,092 Securities redeemed .. . . . . 1,000 .. .. 1,000 Administration and Management .. . . 43,800 48,029 4,229 Payments on Guaranteed Loans .. . . 33,170 34,860 1,690 Total—Debt services .. .. 10,020,237 9,890,015 7,026 137,248 Other services— Education .. .. .. .. .. 51,960 51,938 .. 22 Other Grants and Subsidies .. .. .. 301,260 131,668 .. 169,592 Salaries and Honoraria .. .. .. 59,171 59,133 .. 1 38 Pensions .. .. .. .. .. 24,101 24,092 | 9 Motor-taxation .. .. .. .. 1,110,000 1,179,707 69,707 j Exchange .. .. .. .. .. .. 350,000 812,451 462,451 Other Special Acts .. .. .. . .. 13,850 22,020 8,170 Total—Other services .. .. .. 1,910,342 2,281,009 540,328 169,661 Total —Permanent Appropriations . .. 11,952,933 12,193,208 547,354 307,079 Annual Appropriations :— Vote, — Legislative .. .. . . .. .. 89,740 86,787 .. 2,953 Prime Minister's Department .. .. .. 21,250 22,181 931 Finance—• Treasury .. .. .. . .. .. 31,122 27,259 .. 3,863 Customs .. .. .. .. .. .. 82,175 78,235 .. 3,940 Land and Income Tax .. .. .. .. 65,375 62,395 .. 2,980 Stamp Duties .. .. .. .. .. 84,620 77,966 .. 6,654 Audit .. .. .. .. .. .. 23,050 19,767 .. 3,283 Total—Finance .. .. .. .. 286,342 265,622 .. 20,720 General Administration — Public Service Commissioner's Office .. .. .. 4,933 4,290 .. 643 Internal Affairs .. .. .. .. 524,812 523,418 .. 1,394 External Affairs .. .. .. .. .. 82,221 83,094 873 Printing and Stationery .. .. .. .. 149,944 122,566 .. 27,378 Marine .. ... .. .. .. 103,535 91,754! .. 11,781 Labour .. .. .. .. .. .. 51,086 42,822 .. 8,264 Native .. .. .. .. 55,557 56,744 1,187 Valuation .. .. .. .. .. .. 36,000 29,997 .. 6,003 Electoral .. .. .. .. .. .. 6,138 5,924 .. 214 Total —General Administration .. .. 1,014,226 960,609 2,060 55,677 Law and Order — Justice .. .. .. .. .. .. 164,780 161,258 .. 3,522 Crown Law Office .. .. .. .. .. 4,800 4,451 .. 349 Police .. .. .. .. .. .. 439,560 426,988 .. 12,572 Prisons .. .. .. .. .. .. 89,000 90,528 1,528 Total—Law and Order .. .. .. 698,140 683,225 1,528 16,443 Defence — Naval Defence .. .. .. .. .. 400,800 362,094 .. 38,706 Defence .. .. .. .. .. .. 230,310 207,827 .. 22,483 Total—Defence .. .. .. .. 631,110 569,921 .. 61,189 Maintenance— Public Buildings .. .. .. .. .. 52,692 35,223 .. 17,469 Maintenance and Repairs to Roads .. .. .. 9,000 5,046 .. 3,954 Maintenance of Irrigation Works, &c. .. .. .. 12,500 12,102 .. 398 Total—Maintenance .. .. .. .. 74,192 52,371 .. 21,821
8.—6.
Table No. 9 — continued. NET EXPENDITURE— continued. Comparative Statement of the Appropriated and Actual Expenditure of the Consolidated Fund (Ordinary Revenue Account) for the Financial Year ended 31st March, 1933 — cntd.
VIII
Net Actual Net Difference. Appropriations, Expenditure, 1932-33. 1932-33. More _ les ,_ Anntjal Appropriations— continued. £ £ £ £ Vote — continued. Development of Primary and Secondary Industries — Lands and Survey .. .. .. .. .. 159,816 144,911 .. 14,905 Agriculture.. .. .. .. .. .. 595,562 555,614 .. 39,948 Industries and Commerce, Tourist, and Publicity .. 118,916 61,227 .. 57,689 Scientific and Industrial Research .. .. .. 46,584 51,768 5,184 Mines .. .. .. .. .. .. 25,349 20,802 .. 4,547 Transport .. .. .. .. .- .. 17,274 17,195 .. 79 Total—Development of Primary and Secondary : 963,501 851,517 5,184 117,168 Industries Social Services — Health .. .. .. .. .. .. 715,659 708,449 .. 7,210 Mental Hospitals .. .. .. .. .. 260,018 240,047 .. 19,971 Education .. .. .. .. .. .. 2,701,908 2,620,226 .. 81,682 Pensions .. .. .. .. .. .. 3,141,577 3,139,225 .. 2,352 National Provident and Friendly Societies .. .. 90,356 89,266 .. 1,090 Total—Social Services .. .. .. 6,909,518 6,797,213 .. 112,305 Unauthorized Expenditure,— Services not provided for .. .. .. .. .. 45,725 45,725 Public Revenues Act, 1926, Section 59, — Emergency Expenditure Account — Cost of exchange on remittances to London Total—Annual Appropriations .. .. 10,688,019 10,335,171 55,428 408,276 602,782 715,355 602,782 Total Expenditure .. .. .. 22,640,952 22,528,379 .. 112,573
8.—6.
Table No. 10. Estimated Net Expenditure of the Ordinary Revenue Account for 1933-34. compared with Actual Net Expenditure for 1932-33.
ii—B. 6.
IX
| | ' ~ _ I Estimate | Actual , Difference. for I for I ; 1983-34. 1932-33. T _ Increase. : Decrease. Permanent Appropriations, — £ £ £ £ Civil List .. .. .. .. .. 22,745 22,184 561 Debt services— Interest .. .. .. .. .. 8,913,834 8,498,681 415,153 Sinking Fund .. .. .. .. .. 10,859 9,855 1,004 Repayment of Public Debt .. .. .. 1,366,448 1,291,182 75,266 Administration and Management .. .. .. 55,000 48,029 6,971 Payments of Guaranteed Loans, Redemptions, and 99,340 42,268 57*072 Transfers ! J. j Total —Debt services .. .. .. 10,445,481 9,890,015 555,466 Under Special Acts of the Legislature— Education .. .. .. .. .. 53,221 51,938 1,283 Other Grants .. .. .. .. .. 130,800 130,662 138 Salaries and Honoraria .. .. .. .. 55,450 58 684 .. 3 234 Pensions .. .. .. ' 11 Motor Taxation .. .. .. 1,179,000 1,179,707 .. 707 Exchange .. .. .. .. .. 1,790,000 812,451 977,549 Other Special Acts .. .. ,, .. 53,470 23,475 29,995 3,286,022 2,281,009 1,008,965 3,952 Total—Permanent appropriations .. 13,754,248 12,193,208 1,564,992 3,952 Annual Appropriations,— Legislative .. .. .. .. 83,000 86,787 .. 3,787 Prime Minister's Department .. .. .. 21,939 22,181 .. 242 Finance— Treasury .. .. .. .. .. 33,885 27,259 6,626 Customs .. .. .. .. 84,645 78,235 6,410 Land and Income Tax .. .. .. 61,850 62 395 .. 545 Stamp Duties .. .. .. 2,454 Audit •• •• •• •• .. .. 22,454 19,767 2,687 283,254 265,622 18,177 545 General Administration— Public Service Commissioner's Office .. ,. j 4,725 4,290 435 Internal Affairs .. .. .. .. 320,224 523'418 .. 203,194 External Affairs .. .. .. .. 81,200 83,094 .. 1,894 Printing and Stationery .. .. .. .. 134,028 122,566 11,462 Marine .. .. .. .. .. . . 102,200 91,754 10,446 Labour •• •• •• .. 39,162 42,822 .. 3,660 Native .. .. .. .. .. .. 51,848 56,744 .. 4,896 Valuation .. .. .. .. .. 35,190 29,997 5,193 Electoral .. .. .. .. .. 5,200 5,924 .. 724 773,777 960,609 27,536 214,368 Law and Order— Justice and Prisons .. .. .. 250,635 251,786 .. 1,151 Crown Law .. .. .. .. .. 4,984 4,451 533 Police .. .. .. .. .. .. 435,769 426,988 8,781 691,388 683,225 9,314 1,151 Defence— Naval Defence .. .. .. 405,245 362,094 43,151 Defence .. .. .. . 229,000 207,827 21,173 634,245 569,921 64,324 Maintenance — Public Buildings .. .. .. 49,000 35,223 13,777 Maintenance and Repairs to Roads .. .. 10,000 5,046 4,954 Maintenance of Irrigation Works, &c. .. .. 14,000 12,1.02 1,898 Maintenance of Unopened Lines .. .. .. 6,000 .. 6,000 79,000 52,371 26,629 Development of Primary and Secondary Industries— Lands and Survey .. .. 162,235 144,911 17,324 Agriculture .. .. .. .. 653,875 555,614 98,261 Industries and Commerce, Tourist, and Publicity .. 118,000 61,227 56,773 j Scientific and Industrial Research .. .. .. 47,000 51,768 .. 4 768 Mines .. .. .. .. .. .. 24,000 20,802 3,198 j Transport .. .. .. .. 25,594 17,195 8,399 1,030,704 851,517 183,955 4,768 Social Services— Health.. .. .. .. .. .. 723,016 708,449 14,567 Mental Hospitals .. .. .. .. 252,000 240,047 11,953 Education .. .. .. .. .. 2,550,000 .. 70,226 Pensions .. .. .. .. .. 3,289,952 3,139,225 150,727, National Provident and Friendly Societies .. .. 84,457 j 89,266 .. 4,809 6,899,425 | 6,797,213 177,247 75,035 Services not provided for .. .. .. .. ., 45 725 45 725 ! ! i ' Total —Annual appropriations .. .. 10,496,732 10,335,171 507,182 1 345,621 2,072,174 349,573 349,573 Totals .. .. .. .. 24,250,980 22,528,379 1,722,601 . . L I , I
8.—6.
Table No. 11. Statement showing how Accumulated Surpluses have been applied.
£ £ By Transfers to — £ £ To Accumulated surpluses at 31st March, 1932 30,395,817 Discharged Soldiers Settlement Account— Surplus for financial year, 1932-33 .. 40,142 1920-21 .. .. .. .. 13,330,000 30,435,959 1921-22 .. .. .. .. 170,000 Less— Ordinary revenue— 13,500,000 To balance revenue and expenditure— Less— £ Written off on account £ 1921-22 .. .. 279,831 of revaluations ..2,650,000 1928-29 .. .. 577,252 Transferred to Ordinary 1930-31 .. .. 1,639,111 Revenue Account—^ 1931-32 .. .. 278,601* 1931-32 .. .. 350,000 2,774,795 1932-33 .. .. 250,000 Written off or retransferred to Ordinary 3,250,000 Revenue Account, as per contra — 10,250,000 Discharged Soldiers Settle- Discharged Soldiers Settlement Loans Act ment Loans Act 1920 De- £ 1920 Depreciation Fund Account — preciation Fund Account 200,000 1920-21 .. .. .. .. 50,000 Discharged Soldiers Settle- 1921-22 .. .. .. .. 50,000 ment Account.. .. 3,250,000 1922-23 .. .. .. .. 50,000 Reserve Fund Account .. 636,076 1923-24 .. .. .. .. 50,000 4,086,076 6,860,871 Less— 200,000 Transferred to Ordinary Revenue Account, 1931-32 .. .. 200,000 Public Works Fund — 1920-21 .. .. .. .. 500,000 1923-24 .. .. .. .. 1,000,000 1924-25 .. .. .. .. 1,000,000 1925-26 .. .. .. .. 500,000 1927-28 .. .. .. .. 250,000 3,250,000 Reserve Fund Account — For purchase of securities, 1920-21 .. 1,200,000 For redemption of loan, 1922-23 .. 800,000 Less— 2,000,000 Transferred to Ordinary Revenue Account, £ 1931-32 .. .. 550,000 Net loss on realization of securities .. 86,076 636,076 1,363,924 Loans redemption— 1921-22 .. .. .. .. 560,011 1922-23 .. .. .. .. 2,337,360 1923-24 .. .. .. .. 1,367,341 1924-25 .. .. .. .. 1,052,130 1925-26 .. .. .. .. 566,161f 1926-27 .. .. .. .. 588,868J 1927-28 .. .. .. .. 95,980 1928-29 .. .. .. .. 50 6,567,901 Bank of New Zealand Shares Account —- 1926-27 .. .. .. .. 808,594 1927-28 .. .. .. .. 117,187 1928-29 .. .. .. .. 58,594 984,375 Education Loans Account, 1923-24 .. .. 100,000 Subsidies for relief of unemployment .. .. 531,415 Assistance towards earthquake services .. .. 33,322 Advance to State Forests Account .. .. 45,000 Advance to Rural Intermediate Credit Board .. .. .. .. .. 400,000 Advance to Westport Harbour Account) .. .. 5,000 Charges and expenses of renewing loans .. .. 4,105 Balance (cash) at 31st March, 1933 .. .. 40,046 £23,575,088 £23,575,088 * Total deficit £2,140,819, balance of £1,862,218 met out of proceeds of part of £3,030,000 Revenue Treasury Bills outstanding at 31st March, 1932. t Includes £151,824 of reparation-moneys received from Germany. J Includes £73,710 reparation-moneys received from Germany. In addition, £2,250,000 was obtained by hypothecation to Bank of New Zealand and National Bank of New Zealand of discharged-soldiers-settlcment securities in terms of section 7of the Finance Act, 1931 (No. 4). Repayment to be made out of the capital proceeds of instalment mortgages.
X
■8.—6.
Table No. 12. PUBLIC WORKS FUND. Statement showing the Net Expenditure under Appropriations for the Year ended 31st March, 1933, compared with the Year ended 31st March, 1932.
XI
I VntCk Year ended Year ended T „ Vote . 31st March, 1933. 31st March, 1932. Increase. Decrease. I £ £ £ £ Public Works, Departmental .. .. 104,904 151,376 .. 46,472 Railway-construction .. .. 69,603 590,543 .. 520,940 Railways Improvement and Additions to ! 91,250 361,845 .. 270,595 Open Lines Public Buildings— General .. .. .. .. 2,107 33,226 .. 31,119 Courthouses .. .. .. 970 3,513 .. 2,543 Education Buildings .. .. 52,623 259,149 .. 206,526 Prison Buildings and Works .. 2,026 2,621 .. 595 Police-stations .. .. .. 1,022 2,535 .. 1,513 Postal and Telegraph .. .. 2,763 104,505 101,742 Mental Hospital Buildings .. .. 28,756 45,938 17,182 Health and Hospital Institutions .. 300 3,316 .. 3,016 Timber-supply and Sawmills, &c. .. 21 2,012 1,991 Acquisition and Operation of Quarries .. Or. 3,780 107 .. 3,887 Lighthouses .. .. .. 688 5,046 .. 4,358 Harbour-works .. .. .. Or. 5,277 6,987 .. 12,264 Development of Tourist Resorts .. 14,454 87,609 .. 73,155 Department of Immigration .. .. .. 5,266 .. 5,266 Roads, cic. .. .. .. .. ! 396,559 1,078,270 .. 681,711 Roads to give Access to Outlying Districts | .. 3,940 .. 3,940 j Telegraph Extension .. • .. .. 99,999 249,978 .. 149,979 Lands, Miscellaneous .. .. I 38,906 38,900 6 Irrigation, Water-supply, and Drainage.. I 53,290 37,749 15,541 Swamp Land Drainage .. .. 14,807 .. 14,807 Plant, Material, and Stores .. .. Or. 41,704 Or. 105,690 63,986 Settlement of Unemployed Workers .. 118,722 118,722 213,062 [ 2,138,794 213,062 i ; ! Totals .. .. .. 1,043,009 2,968,741 .. 1,925,732
B. 6.
Table No. 13. Statement showing the Total Ways and Means of the Public Works Fund, General Purposes Account, and the Total Net Expenditure to the 31st March, 1933.
XII
WAYS AND MEANS. Loans:— £ s . <j. £ 8 _ dImmigration and Public Worka Loan, 1870 .. .. .. 4,000,000 0 0 Immigration and Public Works Loan, 1873 .. .. .. 2,000,000 0 0 Immigration and Public Works Loan, 1874 .. .. 4,000,000 0 0 General Purposes Loan Act, 1873 .. .. 750,000 0 0 New Zealand Loan Act, 1876 .. .. .. 750,000 0 0 New Zealand Loan Act, 1877 .. .. .. 2,200,000 0 0 New Zealand Loan Act, 1879 .. .. ., 0 0 New Zealand Loan Act, 1882 .. .. 3,000,000 0 0 New Zealand Colonial Inscribed Stock Loan Act, 1882 . . 250,000 0 0 North Island Main Trunk Railway Loan Act, 1882 .. .. 1,000,000 0 0 New Zealand Loan Act, 1864 .. .. ., ..I 1,500,000 0 0 New Zealand Loan Act, 1886 .. .. .. 1*325'000 0 0 District Railways Purchasing Acts, 1885 and 1886 .. 479,487 7 11 New Zealand Loan Act, 1888 .. .. .. 1,000,000 0 0 Native Land Purchase Act, 1892 .. ' 149*700 0 0 Lands Improvement and Native Lands Acquisition Act, 1894 .. 500,000 0 0 Aid to Public Works and Land Settlement Act, 1896 .. .. 1,000,000 0 0 Aid to Public Works and Land Settlement Amendment Act, 1897.. 250,000 0 0 Aid to Public Works and Land Settlement Amendment Act, 1898.. | 500,000 0 0 Aid to Public Works and Land Settlement Act, 1899 .. 1,000,000 0 0 \ Aid to Public Works and Land Settlement Act, 1900 .. 1,011,600 0 0 Aid to Public Works and Land Settlement Act, 1901 .. 1,250,000 0 0 Aid to Public Works and Land Settlement Act, 1902 . . 1,750,000 0 0 Aid to Public Works and Laud Settlement Act, 1903 .. 997,690 0 0 Aid to Public Works and Land Settlement Act, 1904 .. 750,000 0 0 Aid to Public Works and Land Settlement Act, 1905 .. .. 1,000,000 0 0 Aid to Public Works and Land Settlement Act, 1906 .. 989,700 0 0 Aid to Public Works and Land Settlement Act, 1907 .. 1,000,000 0 0 Aid to Public Works and Land Settlement Act, 1908 .. .. 1,250,000 0 0 Aid to Public Works and Land Settlement Act. 1909 .. 1.000,000 0 0 Aid to Public Works and Land Settlement Act, 1910 . . 1,750,000 0 0 Aid to Public Works and Land Settlement Act, 1911 .. 1,500,000 0 0 Aid to Public Works and Land Settlement Act, 1912 .. 1,748,900 0 0 Aid to Public Works and Land Settlement Act, 1913 .. 1,750,000 0 0 Aid to Public Works and Land Settlement Act, 1914 .. 3,000,000 0 0 Aid to Public Works and Land Settlement Act, 1921 .. 5,060,613 0 3 Aid to Public Works and Land Settlement Act, 1922 .. 4,408,860 12 3 Finance Act, 1909 .. .. .. .. .. 1,250,000 0 0 Finance Act, 1915, and New Zealand Loans Act, 1915 .. .. 2,000,000 0 0 Finance Act, 1916 .. .. ,. .. .. .. 1,000,000 0 0 Finance Act, 1917 .. .. .. .. .. .. 850,000 0 0 Finance Act, 1918 (No. 2) .. .. .. .. .. 2,500,000 0 0 Finance Act, 1919, Section 5 . . 750,000 0 0 Finance Act, 1920, Section 15 .. .. 2, 0 0 Finance Act, 1921, Section 10 .. .. .. 111 10 11 Finance Act, 1923, Section 2 .. 4,306,608 17 6 Finance Act, 1924, Section 2 .. .. .. j 12 6 Finance Act, 1925, Section 2 .. .. .. 4,151,450 10 2 Finance Act, 1926, Section 2 .. .. 5,220,134 10 7 Finance Act, 1927 (No. 2), Section 2 .. .. .. .. 10 3 Finance Act, 1928, Section 2 .. .. .. .. 3,185,132 14 8 Finance Act, 1929, Section 2.. .. .. .. 4 6 Finance Act, 1930 (No. 2), Section 2 .. .. .. 3.000,000 0 0 Finance Act, 1931 (No. 4), Section 2 .. 500,000 0 0 Stock issued for Expenses of Conversion, 1930-31 .. 360,835 18 0 Post and Telegraph Act, 1908 .. .. .. .. 200,000 0 0 Midland Railway Petitions Settlement Acts, 1902. and 190J 150,000 0 0 Paeroa-Waihi Railways Act, 1903 .. 75,000 0 0 Waikaka Branch Railway Act, 1905 .... 50 000 0 0 Wellington and Manawatu Railway Purchase Act, 1908 .. 1,000,000 0 0 Appropriation Act, 1912 .. .. .. 15,000 0 0 Irrigation and Water-supply Act, 1912 .. 0 0 Balances transferred from Separate Account, 1931-32-- £ s. d. Waihou and Ohinemuri Rivers Improvement 5,518 10 10 Account Education Loans Account .. .. .. 12,867 3 9 Railways Improvement Authorization Act 1914 420,783 17 4 Account Hauraki Plains Settlement Account . . .. 44 10 4 Rangitaiki Land Drainage Account .. .. 10,797 5 0 Swamp Land Drainage Account .. .. 9,008 19 1 — ; 459,020 6 4 Receipts in Aid :— |_ . 107,570,442 15 10 Amount transferred from Consolidated Fund .. ... 14,555,000 0 0 Contributions of Canterbury Province for Railways 56,000 0 0 I Proceeds of Railway Material handed over to Cook County Council 4,963 7 4 I Stamp Duties to 31st December, 1876 264,657 16 4 Transfer from Confiscated Lands Liabilities Account .. 19,963 1 3 Receipts under Section 16 of the Reserves and other Lands Disposal 21,890 4 5 and Public Bodies Empowering Act, 1912 Carried forward .. .. .. j 14,922,474 9 4 107,570,442 15 10
8.—6-
Table No. 13— continued. Statement showing the Total Ways and Means of the Public Works Fund, General Purposes Account, and the Total Net Expenditure to the 31st March, 1933— continued.
XIII
WAYS AND MEANS— continued. £ e. d. ' £ s. d. Brought forward .. .. .. 14,922,474 9 4 107,570,442 15 10 Receipts is Aid— continued. Special Receipts under Section 9 of the Railways Construction Act, 60,616 3 0 1878 Special Receipts under the Ellesmere Lake Lands Acts, 1888 and 67.070 16 9 1893 Special Receipts under the Railways Authorization and Manage- ! 2,257 1 9 ment Act, 1891 Special Receipts under the North Island Main Trunk Railway Loan 114,550 19 6 Application Act, 1886 Sinking Funds released .. .. .. .. .. 606,819 19 3 Finance Act, 1932, Section 7 (4)— Sale of land under Hauraki Plains Aut, 1926 .. .. 1,496 19 10 15,675,286 9 5 £123,245,729 5 8 NET EXPENDITURE. Expenditure on— Immigration .. .. .. .. .. .. j 3,314,322 15 0 Public Works, Departmental .. .. .. ,, 2,010,060 8 5 Railways, including Surveys of New Lines and Payment to Midland 3 3 Railway Bondholders R oads .. .. .. .. .. .. .. 21,811,851 16 11 Land-purchases .. .. .. .. .. .. 2,061,147 1 10 Settlement of Unemploj'ed Workers .. .. 118,721 14 1 Development of Mining .. .. .. 881,015 0 11 Telegraph Extension .. .. .. .. ,. .. ; 11,280,445 10 10 Public Buildings .. . . .. .. .. ., 11,625,429 5 11 Lighthouses, Harbom-works, and llarbour-defencen .. ; 1,299,260 13 5 Contingent Defence .. .. .. .. .. 1,401,923 15 3 Rates on Native Lands .. .. .. .. 68,671 16 10 Thermal Springs .. .. .. .. .. .. 13 2 Development of Tourist Resorti .. .. ,. 677,808 13 9 Lands Improvement .. .. . .. .. 738,267 3 11 Swamp Land Drainage .. .. ., I 14 ,'807 4 5 Plant, Material, and Stores .. .. ,, 126,157 17 11 Charges and Expenses of raising Loans .. .. 3,827,693 8 4 Coal-mines .. .. .. .. .. .. I 10,835 8 0 Interest and Sinking Fund .. .. .. . 218,500 0 0 Irrigation and Water-supply .. .. .. .. I 1,059,686 3 11 Timber Supply, Sawmills, &e. .. .. .. ..Or. 3,874 12 11 Acquisition and Operation of Quarried .. .. .. ., I 5,'963 1 10 Motor Transport Service .. .. .. .. .. I 33, (J35 5 3 Transfer to Mam Highways Account, Construction Fund .. .. 1,226,000 0 0 121,924,758 10 3 Balance on 31st March, 1932,— Cash in the Public Account .. .. .. .. .. j 32,883 6 6 Investments.. .. .. .. .. ,. 1,288,087 8 6 — 1,320,970 15 0 £123,245,729 5 3
8.—6.
Table No. 14. Statement showing the available Financial Resources of the various Accounts on the 31st March, 1933, as compared with the 31st March, 1932.
Table No. 15. Statement showing the Amount charged to "Unauthorized" in each Financial Year from 1st April, 1923, to 31st March, 1933.
XIV
1933. 1932. Account. Balance Liabilities Baton* pities I^™ Slst March, 31st March, 3l9t «"<*■ 31st March ' '' 'oflst Apri? 1933. 1933. On igggP ' 1932. 1932. on 1933 ' (Consolidated Fund— £ £ £ £ £ £ Ordinary Revenue .. .. 613,164 219,090 .. 1,107,782 261,532 Public Works Fund — General Purposes .. .. .. 1,320,971] 127,956 4,621,199 1,783,034 I 176,419 5,141,050 Electric Supply .. .. .. 133,430 94,128 1,033,990 9,225 139,638 1,533,990 Electric Supply Sinking .Fund .. 83,792 .. .. 62,059 Bank of New Zealand Shares ..1,859,375; .. .. 1,859,376 Discharged Soldiers Settlement .. 260,36« 438 .. 194.910 j Land for Settlements .. .. 57,805 13,103 6,278,000 191,032 i 11,923 6,278,000 Loans Redemption .. .. .. 303,658 •. .. 368,903 Loans Redemption Account Part II ! 6,398 Conversion Account Main Highway— Revenue Fund .. .. .. 204,891 63,962 .. 398,859; 99,725 Construction Fund .. .. ! 57,787; 20,327 690,400 99,675' 42,341 690,400 Native Land Settlement .. .. 3,445 49,156 .. 3,941 25,865 500,000 Public Debt Repayment .. .. 429,117 .. .. 15,165 ! ReserveFund .. .. .. 478,549 189,315 .. 1,101,169 842,065 Samoan Loan Suspense .. .. .. .. 4,800 .. .. 4,800 State Coal-mines .. .. .. 65,976 15,469 55,000 46,084 15,144 j 55,000 State Coal-mines Sinking Fund .. ' 8,299 .. .. 7,990 State Forests .. .. .. 14,299: 5,141 681,225 11,488' 5,390 851,225 Unemployment Fund .. .. 424,426; 154,801 .. 184,967 123,534 Working Railways .. .. .. 1,265,300 207,158 .. 816,963; 240,746 State Advances Loan .. .. 171 .. 10,215,145 176 .. 10,452,620 Additional Unexhausted Authorities for raising Loans. Government Accident Insurance Act, 1908 .. .. 23,000 .. .. 23,000 State Fire Insurance Act, 1908 .. j .. .. 98,000 .. .. 98,000 Totals .. .. .. 7,591,222 1,160,044 23,700,759 8,322,797 1,984,322 25,628,085 I
Consolidated Fund.—Revenue Account. Fcuhoui. Ykah. — Ac ° 0 ™«, PDB TnJ 0BK8 ' *««*• SerV 4 e d e ed n f O or Pr0 " Excess <* Votes - Total - " I £ a. d, £ s. a. £ a. d. £ s. d. £ a. d. £ s. d. 1923-1924 .. 189,384 15 11 1,983 3 1 191,367 19 0 33,123 3 1 ' 41,944 10 2 266,435 12 3 1924-1925 .. 22,526 15 9 63,690 15 3 86,217 11 0 27,390 19 0 101,970 16 2 215,579 6 2 1925-1926 .. i 30,265 7 9 26,257 3 7 56,522 11 4 30,811 19 2 23,665 13 8 111,000 4 2 ' 1926-1927 .. I 27,913 18 1 45,418 12 4 73,382 10 5 1,581 10 7 2,801 18 9 77,715 19 9 1927-1928 .. 15,942 15 4 SI,560 10 5 67,503 5 9 10,740 8 2 ! 49,604 6 11 127,848 0 10 1928-1929 .. 7,959 7 3 43,312 14 4 I 51,272 1 7 11,891 14 4 '■■ 20,639 17 2 83,803 13 1 1929-1930 .. 22,205 12 8 41.40T 0 0 i 63,612 12 8 111,438 6 11 ! 24,827 8 0 199,878 7 7 1930-1931 .. , 4,585 0 0 129,903 7 1 134,488 T 1 \ 3,450 8 7 : 1,586 13 11 139,525 9 7 1931-1932 .. ; 18,698 6 0 19,182 17 10 37,881 3 10 ' 21,577 6 4 1,376 10 3 60,835 0 5 1932-1933 .. 45,724 18 4 16,005 18 3 61,730 16 7 57,667 1 10 40,160 8 3 159.558 R 8
8,—6.
Table No. 16. State Balance-sheet as at 31st Mahch, 1932. Liabilities. Assets »si oJ snn S o d ; Land / nd 8 . including Crown, settlement, and £ s . d. P Srr r :: , :: S: " ° ° inns \ \ CredHoS- r " 21 ' 725 ' 644]0 6 Railways, including permanent-way and workV, 37 ' 424 ' 630 9 7 Sundry ,„, , m ~ ,„ rolling-stock, and unopened lines .. .. 58,559,896 12 10 Interest on debenture* "and stock ' 674 ' 18 ° ",0 •" Jfflfg « » due and unpaid .. .. 12,129 53 , Drainage and irrigation schemes'' " 3 766248 8 2 Interest accrued but not due 779,552 17 11 Collieries, sawmills, quarries, &c " " 'm'm i? o Wages and other payments accrued 7,638 2 4 Armament and military stores, aviation equipment 2 944 256 5 4 Re™-" 6 ' •• 453,976 17 5 Oyster-beds, fish-hatcheries, equipLfnt, P m'S lit General , „», „,, ~ - Wharves, bridges, harbour-works, lighthouses, &c.. 833,689 6 7 ueneiai . ... 3,8b1,024 14 5 Plant, material, and furniture .. •{ 711 V,l 9 7 a-»— "•;::::;:: i £2&^=3M^u:: ss; ? Daa aeots, «o. .. .. 462,854 16 2 Advances on loan or mortgage .. r )9 750 689 15 0 Amount held on deposit .. .. 506,463 14 7 Debtors— " 'ou-o»j jo u Suspense .. .. .. 107,096 2 5 I Sundry o ion ain Q « PO c S ert?fit C tes inVeStment War " loan o IBn ftfi « - of land and buildings \ ] I',™'s 19 8 certincates .. .. .. 2,190,958 2 9 Postponed rents, &c. 288 078 4 1 Miscellaneousliabilit.es . .. 4 ,328 9 8 Interest and rent, due and unpaid and due and Excess of assets over liabilities .. 55,754,869 1110 accrued.. .. . .1,787,17117 3 Principal and interest 12 7 Special investments— Nauru phosphate rights .. .. .. 565,040 0 0 Bank of New Zealand shares .. .. .. 2 109 375 0 0 Public Trust Office (Public Debt Redemption Fund,&c.) .. 8,138,576 18 11 Special assets of various accounts— Native land schemes, &c. .. .. ~ 630 240 311 Unallocated loan charges .. .. 631,340 7 5 Earthquake expenditure .. 77 139 n 1 Payments in advance .. .. .. .. 227*290 18 6 Properties acquired by Crown and properties in course of realization .. 71 n 7QI q 1 Investments— Reserve Fund 321,107 13 9 Sinking funds 344,973 9 0 Miscellaneous, including investment of Treasury accounts 9,157,684 3 5 .National Development Account— Expenditure on— £ s . (j_ Main highways, roads, &o. 26,601,965 211 Development of mining .. 867,777 15 11 Education .. .. 8,016,302 611 Immigration .. .. 3,320,541 10 6 Harbour-works .. .. 1,038,004 13 10 Land-development .. 703,353 6 7 Cost of raising loans .. 28,681 15 10 _.. , 40,576,626 12 6 Other loan expenditure— War expenditure .. .. 66,664,166 5 4 Naval defence .. .. 1,389,351 14 5 Local bodies .. .. 3,041 J217 12 0 Maori-land settlement .. 247,050 0 0 Miscellaneous .. .. 6,159,391 3 1 _ , 77,501,170 14 10 Cash — Public Account .. .. .. .. 1,042,091 16 8 Receiver-General .. .. .. ~ 4 ]g 4 State Advances Office Aceonnt 12 1 Post Office or Post Office Sa.vings-bank .. 185*722 14 9 Deposit accounts .. .. .. ~ 25,198 2 9 In hand and in transit .. .. ~ 43 533 3 g Miscellaneous assets .. .. .. ~ 12*423 19 5 £383,418,018 19 7 £383,418,018 19 7 w'ton°^d^ hOle £ f lblio debt :' loa " ?*penditure on war and other purposes not represented by JSf toTSteTrf SoSjll' e^etditTre? 1, ° f " °° m Tnterest £ received il *Tho analysis of the public debt on 31st March, 1932, was as follows:— Ordinary debt .. .. .. r«7 710 nna War debt .. .... 167,; 19,008 State Advances debt . " oHlo'^ Discharged soldiers debt .. '.'. " " 7668 87fi Revenue bills outstanding, 31st March, 1932 3*030*000 £281,942,800
XV
8.—6.
Table No. 17. PUBLIC DEBT. Statement showing Maturity Dates and Domicile of Debt outstanding as at 1st April, 1933.
Note.—The debt at 31st March, 1933, was £282,622,958 ; the difference of £525,283 is accounted for by the premium on securities converted under the New Zealand Debt Conversion Act, 1932-33, less cash adjustments.
XVI
Due in Year of Maturity vr ~ , A Total (Year ended 31st March), Zealand. Jotal. London. Australia. \—> ; Public. Departments. I I ' £ ' £ £ i £ £ Overdue .. .• : C» 5,680 60,500 .. 66,180 1925-45 .. .. .. 2,090,909 .. .. •• 2,090,909* 1932-34+ •• •• •• 5,000,000 .. .. •• 5,000,000 1933-43+ .. .. .. 3,989,100 .. 10,900 .. 4,000,000 1933-34 .. .. .. 512,900 77,150 421,720$ .. 1,011,770 1934-35 .. .. .. 37,000 639,100 238,700§ .. 914,800 1935-36 .. .. .. i 119,500 175,900 21,420 .. 316,820 1935-45f .. .. .. 10,135,800 .. 10,135,800 1936-37 .. .. ... 2,400 621,280 29,430 .. 653,110 1936-51+ .. .. .. 5,869,988 .. ! .. ■■ 5,869,988 1937-38 .. .. .. .. 88,100 | 28,500 .. 116,600 1937-401 .. •• 12,476,720 .. 12,476,720 1938-39 .. .. .. 4,000 3,000 12,330 .. 19,330 1939-40 .. .. .. 17,172,191 .. 270,121 .. 17,442,312 1940-43|| .. .. .. .. 13,796,625 .. 13,796,625 1940-41 .. . • •• •• 44,000 2,500 .. 46,500 1943-44 .. .. .. 7,339,656 .. •• 7,339,656 1943—4611 .. .. .. •• •• 10,320,950 .. 10,320,950 1943-63f •• ■ • 10,505,989 .. 378,639 .. 10,884,628 1944_45 .. .. .. 7,780,407 .. .. 7,780,407 1945-46 .. .. .. 22,543,590 .. 2,500 .. 22,546,090 1946_49|| .. .. 9,605,560 .. 9,605,560 1947-48 .. .. 11,221,609 .. .. .. 11,221,609 1948-58| •• 19,225,465 .. .. 19,225,465 1949-50 .. .. .. 7,500,000 .. •• •• 7,500,000 1949-52|| .. .. .. .. •• 13,782,705 .. 13,782,705 1950-51 .. .. •• 1,250,000 1,214,500 .. .. 2,464,500 1952-5511 .. .. .. •• •• 9,321,315 2,002,650 11,323,965 1955-56 .. .. .. .. • • 2,256 .. 2,256 1956-71+ .. .. 5,000,000 .. .. •• 5,000,000 1956-57 .. .. .. .. •• •• 3,818,020 3,818,020 1957-58 .. .. 24,100,1991 .. 15,414,329 39,514,528 1958-59 15,242,216 15,242,216 1959-60 !! .. .. .. .. 7,652,885 i 7,652,885 161,400,703 2,868,710 70,783,391 44,130,100 279,182,904 Floating debt — Revenue Treasury bilk . . .. • • ■ ■ 1 > 585,000 1,585,000 Banks Indemnity (Exchange) .. .. 2,380,337 .. 2,380,337 bills N Totals.. .. 161,400,703 2,868,710 73,163,728 45,715,100 283,148,241 * Advances by Imperial Government for State Advances purposes. t Government has option to redeem on or after the earlier date on giving notice in the London Gazette. J Includes £65,000 redemption Treasury bill. § Includes £212,500 deed security for payment of purchase-money, Horahora electric-power works. j| Government has option to redeem on or after the earlier date on giving three months notice in New Zealand Gazette. *; Imperial Government advances funded in terms of section 8, Finance Act, 1922.
B.— 6.
Table No. 18. PUBLIC DEBT. Statement of Half-yearly Instalments of Principal and Interest for Repayment of £27,532,164 advanced by the Imperial Government and funded in Terms of the Agreement dated 6th September, 1922.
Table No. 19. EDUCATION EXPENDITURE. Total Expenditure on Education out of Public Funds, including University, Primary, Secondary, and Higher Education, Technical and Special Schools, and Child Welfare, 1913-14 to 1932-33.
In addition, post-primary schools and University colleges derive direct income (amounting for 1932-33 to £48,274) from reserves vested in them. iii—B. 6.
XVII
Date Instalments paid. Interest. Principal. ! £ £ j £ 1st December, 1922 .. .. .. 684,794 141,171 27,390,993 1st June, 1923 .. .. .. 681,282 144,683 27,246,310 1st December, 1923 .. .. .. 677,684 148,281 27,098,029 1st June, 1924 .. .. . 673,996 151,969 26,946,060 1st December, 1924 .. .. .. 670,216 355,749* 26,590,311 1st June, 1925 .. .. .. .. 661,367 164,598 26,425,713 1st December, 1925 .. .. .. 657,274 168,691 26,257,022 1st June, 1926 .. .. .. .. 653,078 172,887 26,084,135 1st December, 1926 .. .. .. 648,778 177,187 ; 25,906,948 1st June, 1927 .. .. .. 644,370 181,595 ! 25,725,353 1st December, 1927 .. .. .. 639,854 186,111 25,539,242 1st June, 1928 .. .. .. .. 635,225 190,740 25,348,502 1st December, 1928 .. .. .. 630,481 195,484 25,153,018 1st June, 1929 .. .. .. .. 625,618 200,346 24,952,672 1st December, 1929 .. .. .. 620,635 205,330 24,74-7,342 1st June, 1930 .. .. .. .. 615,528 210,437 24,536,905 1st December, 1930 .. .. .. 610,294 215,671 24,321,234 1st June, 1931 .. .. .. .. 604,930 221,035 24,100,199 1st December, 1931 f .. .. .. .. .. 24,100.199 * Includes £200,000 paid off the Naval Defence Loan in terms of the clause by which New Zealand has the right on giving three months' notice, to repay at par any part of the principal. t Following on the " Hoover " moratorium, the Imperial Government agreed to postpone the instalments of principal and interest due in December, 1931, and June, 1932, only one half-yearly payment was therefore made in 1931-32. A further postponement for one year from 1st July, i932, was agreed to by the Imperial Government. No payment was therefore made in 1932-33.
Loan-money: Erection Consolidated Fund. of School Buildings p er Hea(J Subsidies of * ear National Vote, ,, to „ ,,. , Total. Mean Special : Endow- Education, Revenue Teaohere > Public Education p , a Acts. ment Salaries and ,/ rom Super- Loans tion Revenue, other Charges. Keserves - annuation Bund - Account. j J ! Eund. ; £ £ £ £ £ £ £ £~~ £ s. d. 1913-14 .. 27,742 50,681 1,131,756 71,808 17,000 121,954 .. 1,420 941 1 5 3 1914-15 .. 26,128 55,139 1,207,983 70,802 17,000 122,940 1,499 992 1 6 2 1915-16 .. 46,874 j 64,858 1,329,166! 84,390 17,000 97,972 1,640 260 1 8 6 1916-17 .. 58,408 60,180 1,406,264 90,535 17,000 70,367 .. 1,702 754 19 8 1917-18 .. 59,362 70,345 1,511,256 90,518 17,000 63,082 .. 1,811 563 1 11 5 1918-19 .. 57,716 76,177 1,602,995 92,095 43,000 115,656 .. 1,987 639 1 14 1 1919-20 .. 79,747 78,988 2,031,825 99,352 43,000 195,500 .. 2,528 412 2 110 1920-21 .. 101,972 70,313 2,460,116 100,758 43,000 244,722 214,571 3,235 452 2 11 8 1921-22 .. 96,217 71,737 2,580,562 105,448 43,000 2,469 563,411 3,462 844 2 13 10 1922-23 .. 90,393 66,610 2,514,991 112,378* 68,000 .. 361,976 3,214 348 2 9 0 1923-24 .. 96,506 77,788 2,604,508 116,808*68,000 .. 295,681 3,259 291 2 8 11 1924-25 .. 128,844 86,746 2,752,2711 118,973* 68,000 .. 462,212 3 617 046 2 13 2 1925-26 .. 111,389 87,512 2,854,719t 119,978* 70,952' .. 564,946 3,809,496 2 14 9 1926-27 .. 115,499 88,545 2,954,597f 119,073* 71,452 .. 550,954 3,900 120 2 14 11 L927-28 .. 127,289 90,518 2,974,615f 123,247* 71,497 .. ■ 369,134 3,756,300 2 12 1 1928-29 .. 137,233 94,934 3,067,296t 127,444* 71,749 .. 375,423 3,874,079 2 13 1 1929-30 .. 140,561 87,420 3,193,828t 129,531* | 146,781 .. 428,764 4,126,885 2 15 10 1930-31 .. 125,331 94,506 3,230,200$ 106,405*, 46,907 .. 491,974 4,095 323 2 14 8 1931-32 ...82,163 79,375 2,851,922 88,207*, 46,935 259,148 .. 3,407 750 2 4 11 1932-33 .. 51,938 2,574,929 85,716* 47,043§ 52,623 ' 2,812,249 1 16 9 * Net revenue after deducting expenses and cost of collection. t Excluding £>!.3,000 for teachers' superannuation, included under that heading. { Includes £61 charged to " Unauthorized." § Includes £1,745 charged to vote, Internal Affairs.
8.—6.
Table No. 19 —continued. The following amounts were also paid out of the Government Fire Insurance Fund for rebuilding school buildings destroyed by fire : — £ 1916-17 .. .. .. .. 2,127 1917-18 .. .. .. .. .. 2,658 1919-20 .. .. .. .. ..15,682 1920-21 .. .. .. .. ..16,162 1921-22 .. .. .. .. .. 27,103 1922-23 .. .. .. .. .. 8,542 1923-24 .. .. .. .. .. 12,490 1924-25 .. .. .. •• 32,829 1925-26 .. .. .. .. ..4,938 1926-27 .. .. .. .. .. 10,337 1927-28 .. • -• •. 12,474 1928-29 . . . . •• •• •• 12,197 1929-30 . . . . .. - • • - 6,357 1930-31 .. .. •• •• •• 6,671 1931-32 .. .. .. •• 7,768 1932-33 . . . . •• •• ..6,424
Table No. 20. PENSIONS. Statement of Amounts paid on Account of Pensions for the Financial Years ended 31st March, 1929 to 1933.
XVIII
Year ended 31st March, 1929. 1930. 1931. 1932. 1933. ! — ■ £ f £ £ £ War .. •• 1,178,646 1,204,422 1,245,499 1,261,778 1,217,586 Old-ao-e* • • 1,059,039 1,105,069 1,158,788 1,277,107 1,271,157 Widows' •• 312,963 322,886 325,998 340,162 311,317 Miners' ■• 48,102 51,676 58,441 69,785 62,563 Maori War .. 13,673 11,510 9,101 7,582 5,831 Epidemic i 7,981 7,309 j 6,322 5,580 4,197 Civil Service Act, 1908 .. I 12,192 10,547 9,251 7,861 6,453 Defence Act, 1909 .. .. 2,715 2,573 2,620 2,483 2,176 Judicature Act, 1908 .. 3,429 3,333 2,285 1,833 1,833 Police 671 789 1,741 1,054 1,166 Blind 13,339 | 14,716 15,796 16,710 18,065 Family Allowance .. .. 54,815 60,876 63,608 90,100 122,810 Sundry .. .. 5,698 6,589 6,588 6,501 6,627 Totals .. .. 2,713,263 2,802,295 2,906,038 3,088,536 3,031,781 * Includes payments of old-age pensions paid out national-endowment revenue.
8.—6.
Table No. 21. EXTERNAL TRADE. Statement showing the Recorded Values of Imports and Exports of the Dominion in each Financial Year ended 31st March, 1924 to 1933.
COPY OF PROSPECTUS OF NEW ZEALAND CONVERSION LOAN, 1933, ISSUED IN TERMS OF THE NEW ZEALAND DEBT CONVERSION ACT, 1932-33. (This Prospectus shall be read subject to the New Zealand Loans Act, 1932.) 1. This offer of conversion is confined to holders of New Zealand Government securities issued on or before the 31st March, 1933, the interest or principal moneys in respect of which are payable within the Dominion, but does not extend to any existing securities bearing interest at 4 per cent, or less. 2. Conversion of existing securities bearing interest at rates in excess of 4 per cent, will take effect from the 31st March, 1933, up to which date interest at the rate specified in existing securities will be payable. On and after the Ist April, 1933, the interest rates payable on conversion will apply. 3. Conversion will involve a basic reduction of 20 per cent, in the annual interest payable on existing securities, and the fixation of nominal rates of interest on new securities as explained in this Prospectus. In certain cases where the nominal rates are less than present rates reduced by 20 per cent., adjustment of principal in the form of a premium on conversion will be made, but in no case will there be any reduction in the capital of investors and furthermore in no case, except free-of-income-tax securities, will the rate be reduced below 4 per cent. Applications for Conversion. 4. Application for conversion, in a form to be supplied by the Treasury, identifying the securities to which the application relates, may be lodged together with the relative securities at the Offices of the New Zealand Government Treasury at Auckland, Wellington, Christchurch, and Dunedin, or at any branch of any bank in the Dominion, or at any postal money-order office. A form of interim receipt for applications so lodged for conversion will be issued by the receiving officer, and such receipt shall be conclusive evidence of the fact that the conversion application has been duly made in terms of this Prospectus,. and shall constitute an acknowledgment of surrender of the securities or other documents specified therein for the purposes of conversion. Where the securities are lodged with a bank or person as security, the application may nevertheless be lodged and arrangement made through the bank or person for surrender of the relative securities. Directions will be accepted from any applicant for conversion for delivery of the new securities to the bank or person concerned. Existing Securities subject to Income-tax. Rates of Interest. 5. The rate of interest payable on the conversion of existing securities which are subject to incometax will be 4 per cent., which has been adopted as a basic rate ; but where this rate is less than the rate payable on existing securities with a reduction of 20 per cent., the difference will be adjusted by increasing the principal of the new securities so that the return to the holder with redemption of the premium will not up to the original maturity date be reduced below the present rats, less a reduction of 20 per cent. only.
XIX
Year ended 31st Maroh, Imports. Exports. l, xcess of Exoess of r JBjxports. Imports. £ £ £ £ 1924 .. .. .. .. 44,401,756 51,652,606 7,250,850 1925 .. .. .. .. 49,821,095 54,771,158 4,950,063 1926 .. .. .. .. 53,025,856 48,697,587 .. 4,328,269 1927 .. .. .. .. J 48,192,670 45,682,338 .. 2,510,332 1928 .. .. .. ,. 44,419,357 54,962,031 10,542,674 1929 .. 45,105,865 57,154,343 12,048,478 1930 .. .. .. .. 49,167.914 49,045,817 .. 122,097 1931 .. .. .. .. 38,300,807 39,527,784 1,226,977 1932 .. ,. .. ..I 23,165,522 34,496,211 11,330,689 1933 .. .. .. .. J 22,770,460 38,810,161 16,039,701 i 1 63,389,432 6,960,698 6,960,698 Totals .. .. 418,371,302 474,800,036 56,428,734 1
8.—6.
6. For the purpose of calculating premiums on conversion, tables have been prepared and appear in the Schedule to this Prospectus. These are based on the actuarial tables appearing in the Schedule to the New Zealand Debt Conversion Act, 1932-33. The amount of the premium in any case is dependent on two factors—viz., the difference between the existing rate of interest, less 20 per cent., and the conversion rate of 4 per cent. —and the unexpired period to the maturity date of existing securities, calculated to the nearest half-year from the date of conversion. Form of New Securities. 7. The new securities will be issued as follows :— (a) New 4-per-cent. securities issued in exchange for existing stock —in the form of New Zealand Government stock."" (b) New 4-per-cent. securities issued in exchange for existing bonds or debentures —in the form of New Zealand Government stock or New Zealand Government debentures as may be desired. Note.—The attention of holders of existing bonds or debentures is invited to the advantage of stock over bearer securities in that, firstly, the necessity for safe custody of a security payable to bearer is obviated, and, secondly, directions may be given for payment of interest on stock to a bank or savings-bank. 8. (a) New Zealand Government stock will be inscribed for any sum which is a multiple of £5. (6) New Zealand Government debentures will be issued for £5, £10, £50, £100, £500, and £1,000, or for such higher multiple of £1,000 as may be desired, and will as far as practicable be issued in denominations corresponding to the existing securities surrendered for conversion. The issue of debentures in denominations of £5 and £10 will, however, be confined to — (a) The conversion of existing debentures of these denominations, and (b) the adjustment of fractions. Term of New Securities. 9. (a) New securities bearing interest at 4 per cent, will be repaid at par either on 15th January, 1940, or 15th February, 1946, or 15th April, 1949, or 15th June, 1955. (6) All new securities will be subject to the condition that the Minister of Finance shall, on giving three months' notice in the New Zealand Gazette, have the option of redemption at any time within three years prior to the maturity dates — e.g., securities maturing on the 15th February, 1946, may be redeemed on or after the 15th February, 1943. Allocation of New Securities. 10. New securities issued to any holder in exchange for any amount of existing securities shall as nearly as practicable be allotted equally among the several maturity dates specified in paragraph 9 (a), but the Minister of Finance, in the case of any holder of existing securities of less than £400, or in the case of securities held by trustees or Sinking Fund Commissioners, or in special circumstances, may direct the allocation of securities to one or more of the maturity dates according to the particular circumstances. Fbee-of-income-tax Securities. Rates of Interest and Conditions on Conversion. 11. (a) New securities issued in conversion of free-of-income-tax securities will bear interest at 3| per cent, free of income-tax up to the first half-yearly interest due date next following the maturity date of existing securities, or up to the maturity date of the existing securities if this coincides with the half-yearly interest due date of the new securities, and thereafter at the rate of 4 per cent., and the income derived from the new securities at the latter-mentioned interest rate will be liable for taxation pursuant to the Land and Income Tax Act, 1923, to the same extent as is interest on all other Government securities. (b) The difference between the rate of interest of 4$ per cent, on existing securities reduced by 20 per cent., and the rate of 3 J per cent, payable on the new securities in terms of paragraph (a) will be adjusted by increasing the principal of the new securities so that the return to the holder, with redemption of the premium, will not up to the original maturity date be reduced below the present rate of 4J per cent, less a reduction of 20 per cent. only. (c) For the purpose of calculating premiums on conversion, tables have been prepared and appear in the Schedule to this Prospectus. These are based on the actuarial tables appearing in the Schedule to the New Zealand Debt Conversion Act, 1932-33. The amount of the premium in any case is dependent on two factors —viz., the difference between the existing rate of interest (4| per cent.), less 20 per cent., and the conversion rate of 3 \ per cent., and the unexpired period to the maturity date of existing securities, calculated to the nearest half-year from the date of conversion. Form of New Securities. 12. (a) Now 3J-per-cent. securities issued in exchange for existing free-of-income-tax securities will be in the form of New Zealand Government stock only which will be inscribed for any sum which is a multiple of £5. (b) Holders of existing free-of-income-tax securities may elect, on application for conversion, to accept at par new securities bearing interest at 4 per cent., subject to income-tax. These securities will be for the terms specified in paragraph 9 (a) of this Prospectus.
XX
8.—6.
Term of Netv Securities. 13. (a) New securities bearing interest at 3| per cent, free of income-tax to the first half-yearly interest due date next following the maturity date of existing securities, or up to the maturity date of the existing securities if this coincides with the half-yearly interest due date of the new securities, and thereafter bearing interest at 4 per cent, subject to income-tax, will be repaid at par either on 15th March, 1943, or 15th May, 1952. (6) All new securities will be subject to the condition that the Minister of Finance shall, on giving three months' notice in the New Zealand Gazette, have the option of redemption at any time within three years prior to the maturity dates — e.g., securities maturing on the 15th March, 1943, may be redeemed on or after the 15th March, 1940. Allocation of New Securities. 14. New securities issued to any holder in exchange for any amount of existing securities shall as nearly as practicable be allotted equally to the two maturity dates specified in paragraph 13 (a) hereof, but the Minister of Finance, in the case of any holder of existing securities of less than £400, or in the case of securities held by trustees or Sinking Fund Commissioners, or in special circumstances, may direct the allocation of securities to either one of the maturity dates according to the particular circumstances. Provisions applying in General. Fractions on Conversion. 15. Where the conversion of existing securities into new securities would result in the issue of an amount of new securities that is not a multiple of £5, any fraction of £5 will be adjusted as follows : (a) By the contribution in cash by the holder of existing securities of the amount required to make up the next multiple of £5 ; or (b) by the holder of existing securities consenting to the retention of such amount of interest to accrue on new securities as is necessary to make up the next multiple of £5 ; or (c) by the holder of existing securities electing to receive payment in cash of the amount in excess of a multiple of £5. (Note. —Any payments to be made in accordance with this provision will be made on or after the Ist July, 1933.) Payment of Interest. 16. (a) Interest accrued up to and including the 31st March, 1933, on existing securities, which are converted into new securities, whether upon application or by reason of non-signification of dissent, calculated at the rate specified in existing securities, will become payable on or after the 15th May, 1933, to the person who is the holder of such securities on the 31st March, 1933, but will not be paid in any case until existing securities are surrendered. (b) Interest on new securities issued in accordance with this Prospectus will be payable on the respective half-yearly interest due dates specified in the second column of the table hereunder, except that interest from and including the Ist April, 1933, up to the first half-yearly interest due date will be payable on or before the dates specified in the third column of the table hereunder :—
17. In the case of securities in the form of stock held jointly or otherwise by two or more persons the warrants for the payment of interest may be issued in the name of the stockholder first named in the Register unless the Registrar accepts or has accepted directions from the stockholders for payment to be made otherwise. Taxation. 18. New securities issued in accordance with this Prospectus will not be subject to the special stamp duty under the National Expenditure Adjustment Act, 1932, or to special taxation imposed under the Finance Act, 1932-33, on interest derived from New Zealand Government securities. Dissent from Conversion. 19. (a) Persons who wish to dissent from the conversion of their securities must do so in writing, in a form supplied by Treasury, giving particulars of the securities concerned— i.e., amount, date of maturity, interest rate, and numbers. Notice of dissent, a form of which is obtainable at the New Zealand Government Treasury Offices at Auckland, Wellington, Christchurch, and Dunedin, at any bank, or at any postal money-order office in the Dominion, must be addressed to the Treasury, Wellington.
XXI
Column I. Column II. Column III. Date of Payment of Interest from Date of Maturity. Half-yearly Interest due Dates. 1st April, 1933, to First Halfyearly Interest due Date. I i 15th January, 1940. 15th January, 15th July. 15th July, 1933. 15th February, 1946. 15th February, 15th August. 15th August, 1933. 15th March, 1943. 15th March, 15th September. 15th September, 1933. 15th April, 1949. 15th April, 15th October. 15th October, 1933. 15th May, 1952. 15th May, 15th November. 1st July, 1933. 15th June, 1955. 15th June, 15th December. 15th July, 1933.
8.—6.
(6) Where the existing securities are not in the form of stock, they shall accompany the notice of dissent and shall thereupon be exchanged for New Zealand Government stock. (c) New Zealand Government stock exchanged for existing securities in respect of which notice of dissent has been given as provided in this Prospectus shall conform with the conditions of the existing securities in respect of duration, redemption, rate of interest, and in all other respects. No interest due for any period after the 31st March, 1933, will be paid on existing securities, other than stock, until such securities have been exchanged for New Zealand Government stock. (d) Stock in respect of which notice of dissent has been given, and New Zealand Government stock issued in exchange for existing securities other than stock in respect of which notice of dissent has been given, shall not be exchangeable for New Zealand Government debentures, nor shall stock certificates be issued in respect of such stock. 20. (a) Notice of dissent may be given on or before the 24th March, 1933. (6) Where the holder of the securities (or, where the holder is a trustee, any person whose consent would be required for conversion) is, during the whole of the time between the passing of the New Zealand Debt Conversion Act, 1932-33, and the 24th March, 1933, absent from New Zealand, the time in which dissent may be given is extended to Ist June, 1933. (c) In special circumstances the Minister of Finance may extend the time in the case of any particular holder. Conversion of Securities when Dissent not notified. 21. Where written dissent is not notified in the manner and within the period prescribed by the Act, the relative securities will be deemed to be converted into new securities, and holders will be required to exchange their existing securities for new securities in accordance with this Prospectus. No interest due for any period after the 31st March, 1933, will be paid until this exchange has been made. Miscellaneous. 22. New securities in the form of New Zealand Government stock will be issued to the person who is the registered holder of existing securities on the 31st March, 1933. 23. New securities in the form of New Zealand Government debentures will be delivered to the applicant for conversion in accordance with the directions in the form of application. 24. The issue is an investment authorized by the Trustee Act, 1908, and trustees are expressly authorized and empowered to convert or withhold dissent from the conversion of any existing securities into new securities, and no action, suit, or other proceedings shall be commenced, prosecuted, or maintained against any trustee upon the ground of any action taken by such trustee to convert, or upon the failure of such trustee to dissent from conversion of, existing securities into new securities in accordance with this Prospectus. Provision is contained in the New Zealand Debt Conversion Act, 1932-33, for adjustments as between income and capital consequent on conversion of securities held by trustees. * 25. New securities issued in exchange for existing securities with the condition of availability for payment of death duty attaching thereto shall retain such condition for the period of duration of the new securities. 26. Forms of application may be obtained at any postal money-order office in New Zealand, at any branch of any bank in New Zealand, and at the New Zealand Government Treasury Offices at Auckland, Wellington, Christchurch, and Dunedin. Closing of Registers. 27. Registers of Stock will be closed from the 6th March, 1933, until the 20th April, 1933, or such earlier date as is fixed by the Minister of Finance, for all transactions in respect of New Zealand Government stock other than transactions provided for in this Prospectus. Wellington, N.Z., 4th March, 1933. J. G. Coates, Minister of Finance. the schedule. Method of determining the Amount of New Securities to be issued in Lieu of Existing Securities. 1. The conversion is based on a reduction of the interest rate on existing securities by 20 per cent., but so that in no case, except free-of-income-tax securities, will the rate be reduced below 4 per cent. 2. Where the interest rate on the new securities is not lower than the interest rate on existing securities reduced by 20 per cent, no adjustment of capital is required and new securities will be issued for the same amount as the existing securities. 3. Where the interest rate on the new securities involves a reduction of more than 20 per cent, in the interest rate on the existing securities a premium will be granted in the form of additional new securities (fractions of £5 being adjusted in terms of paragraph 15 hereof). 4. The following table showing the rates of premium for the various classes of existing securities is based on the actuarial tables appearing in the Schedule to the New Zealand Debt Conversion Act, 1932-33. The premium in every case is the actuarial equivalent of the difference in future income for the term of the existing security at the original interest rate less 20 per cent, and at the conversion rate of 4 per cent, or per cent., as the case may be.
XXII
8.-6.
Examples op Working. Existing 5%-per-cent. Securities maturing Ist September, 1937. Interest rate £5 10s. per cent, reduced by 20 per cent, falls to £4 Bs. per cent. Table VI indicates that the premium of each £100 of existing securities is £1-63245 or £1 12s. 8d. — i.e., for each £100 of existing sj-per-cent. securities the equivalent amount of new 4-per-cent securities will be £101 12s. Bd., or for each £1,000 of existing securities the equivalent amount of new 4-per-cent. securities will be £1,016-3245 or £1,016 6s. 6d. Existing Free-of-income-tax Securities maturing 15th November, 1938. Interest rate £4 10s. per cent, as reduced by 20 per cent, falls to £3 12s. per cent, free of income-tax. Table I indicates that the premium for each £100 of existing securities is £0-48934 or 9s. 9d. — i.e., for each £100 of existing 4f-per-cent. free-of-income-tax securities the equivalent amount of new securities will be £100 9s. 9d., or for each £1,000 of existing securities the equivalent amount of new 3|-per-cent. securities will be £1,004-8934 or £1,004 17s. 10d.
Table showing Premium in respect of existing Securities on Conversion. I. 4½-per-cent. Securities (Free of Income-tax).
11. 4\-per-cent. Securities (not free of Income-tax). —Convertible at par. 111. 5-per-cent. Securities. —Convertible at par. IV. s\-per-cent. Securities (maturity date, 15th February, 1937).—Convertible at premium of 0-36627 per cent. — i.e., 7s. 4d. per cent.
V. 5¼-per-cent. Securities.
VI. 5½-per-cent. Securities.
VII. 6-per-cent. Securities (maturity date, Ist August, 1951). —Convertible at premium of £10-38778 per cent. — i.e., £10 7s. 9d. per cent.
By Authority: G. H. Loney, Government Printer, Wellington. —]933.
XXIII
Premium Tier Oent, Premium P er Cent - Maturity Date of Existing Security. on Q onV g rs j on ' expressed in £ s. d. 15th December, 1935 .. .. .. .. 0-23567 0 4 9 1st January, 1936 . . . . . . . . . . 0-28007 0 5 7 15th November, 1938 .. .. ,. .. .. ! 0-48934 0 9 9 20th April, 1939 .. .. .. .. .. .. 0-52877 0 10 7 15th December, 1940 .. .. .. .. j 0-64246 0 12 10 1st January, 1941, to 1st June, 1941 .. .. .. I 0-67889 0 13 7 1st July, 1941, to 1st September, 1941 .. .. .. i 0-71459 0 14 4 I
Premium ™>r Pent ' Premium per Cent. Maturity Date of Existing Security. ; o e n ConV e® si o® I expressed in ' I £ s. d. _ I I 15th August, 1933 .. .. .. .. .. .. j 0-09804 0 2 0 9th October, 1934, and 1st November, 1934 . . . . .. 0-28839 0 5 9 1st July, 1935 .. .. . .. ,. .. i 0-47135 0 9 5 1st September, 1941 .. .. .. .. 1-42919 ] 8 7
Promi™ Premium per Cent. Maturity Date of Existing Security. j on Conversion expressed in £ s. d. 1st July, 1933 .. .. .. .. .. .. 0-19608 0 3 11 1st February, 1936 .. .. .. .. .. 1 • 12029 1 2 5 15th February, 1937 .. .. .. .. .. 1 • 46510 1 9 4 15th August, 1937, and 1st September, 1937 .. .. .. 1-63245 1 12 8 1st August, 1941 .. .. .. .. .. .. 2-85837 2 17 2 1st February, 1951 .. .. .. .. 5-09777 5 1 11
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Bibliographic details
FINANCIAL STATEMENT. (In Committee of Supply, 9th November, 1933.) BY THE RIGHT HON. J. G. COATES, MINISTER OF FINANCE., Appendix to the Journals of the House of Representatives, 1933 Session I, B-06
Word Count
23,582FINANCIAL STATEMENT. (In Committee of Supply, 9th November, 1933.) BY THE RIGHT HON. J. G. COATES, MINISTER OF FINANCE. Appendix to the Journals of the House of Representatives, 1933 Session I, B-06
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