B.—No. 13

Enclosure in C. SCHEDULE of INTEREST and SINKING FUNDS payable in London.

D. Mr. T. M. Stewart to the Hon. J. Hall. Sir,— Bank of New Zealand, Wellington, 24th June, 1868. I have the honor to acknowledge receipt of your letter of 12th inst.. proposing that the Bank should provide funds in London for the due payment of interest and sinking fund on account of the various loans of the Colony, according to the dates specified in the accompanying Schedule. In reply, I have to state, on behalf of the Bank, that we shall be glad to meet the views of the Government in this matter, and will arrange for the transmission of funds to meet the payment due on Ist November, subject to the terms hereafter to be agreed upon. As the settlement of these terms will require careful consideration, I am under the necessity of consulting with the Inspector of the Bank before submitting any definite proposal to you, but I trust that, before the departure of the mail on the Sth proximo, I shall be able to lay before you a statement of the different dates on which it would be necessary to place the Bank in funds here to meet the payments in London, and the terms on which we can undertake to make these remittances. I have, &c., The Hon. the Colonial Treasurer, T. M. Stewart, AVellington. Acting Manager.

E. Mr. T. M. Stewart to the Hon. J. Hall. Sir,— Bank of New Zealand, AVellington, Bth July, 1868. Eoferring to my letter of 24th ultimo, in reply to yours of 12th idem, as to the terms on which the Bank will be prepared to provide funds in London for the due payment of interest and sinking fund on account of the various loans of the Colony, I have the honor to inform you that the Bank will undertake the responsibility of forwarding the necessary remittances, provided the Government agree to the following modification of the arrangement hitherto subsisting in regard to sixty days' bills, namely, that in future a premium of -} per cent, will be charged on remittances made at that currency. Such a modification it is hoped will appear reasonable when it is remembered that, at the time the existing terms were agreed upon (in March, 1867), the amount to be provided in London was not more than one-third of what has now to be remitted, and since that date the selling rate to the public has uniformly been 1-J premium. As desired, a statement is enclosed of the dates on which the several amounts should be paid hero to secure their transmission by sixty days' drafts in sufficient time to mature in London as the payments become due. I have, Ac., The Hon. the Colonial Treasurer, T. M. Stewart, Wellington. Acting Manager. 2

5

BANK OE NEW ZEALAND AND COLONIAL GOVEENMENT.

When Payable in each Year. Purpose. To whom Bank is to Pay the Money. Amounts. .st January .st „ -5th „ ■5th „ .5th March .5th „ jt April .st .st „ .st May ... .st „ ... 5th June 5th ., st July st .5th „ ■5th „ .5th September .5th „ .st October .st .st „ st Novembe .st „ 5th December .5th „ Interest Sinking Fund ... Interest Sinking Fund ... Interest Sinking Fund ... Interest Sinking Fund ... Interest Interest Sinking Fund ... Interest Sinking Fund ... Interest Sinking Fund ... Interest Sinking Fund ... Interest Sinking Fund ... Interest Sinking Fund ... Interest Interest Sinking Fund ..■. Interest Sinking Fund ... Lords of H.M. Treasury ii ... Crown Agents !> IT . . . || ... Lords of H.M. Treasury Bank of New Zealand ... Crown Agent8 H ii ... Lords of H.M. Treasury £ 8,500 4,250 25,000 5,000 15, 000 5,000 1,500 750 15,000 10,000 2, 500 30, 000 10, 000 8,500 4, 250 25, 000 5,000 15,000 5,000 1,500 750 15, (>00 10, 000 2,500 30, 000 10, 000 ii ... Crown Agents ii ... ii Lords of II.M. Treasury Bank of New Zealand ... Crown Agents ii ii u « £265, 000 Treasury, Wellington, 12th June, 1868.