8.—2.

5

It will be remembered that the loan was issued in the form of a 4 per cent. Inscribed Stock, and that it was offered to the public by the Loan Agents, through the Bank of England, at a minimum of £98 10s. per cent., the average price at which it was placed being £98 12s. sd. The stock is now quoted at 102|. The total amount paid by the Bank of England to the Loan Agents, after payment of commission, stamp duty, and other expenses, was £972,297 11s. 9d. On no previous occasion has a JN Tew Zealand loan been raised at a price so favourable to the Colony ; the success which has attended the judicious negotiation of the loan by the Loan Agents, Sir Penrose Julyan and Sir P. Dillon Bell, and the present price of the Stock, are therefore a fitting subject for congratulation. Prior to the loan being offered to the public full information regarding the progress and prospects of the Australasian Colonies in general, including New Zealand, was published in London by the Agent-General, in a very able paper read at the Colonial Institute, and fully discussed in the public Press. Not only the favourable rate, therefore, at which the loan was placed, but the present price of our 4 per cent, inscribed stock and other loans, show that, notwithstanding reiterated statements to the disparagement of our credit, there is in the money market of the world confidence in the resources of the Colony, and in its ability to meet the charges of its public debt. So long as our finance is prudently managed, and the affairs of the Colony are so conducted as to promote settlement on its lands and the development of local indnshies, there is no reason to doubt that our credit will be well maintained, and that we shall be able to obtain from time to time, upon reasonable terms, such moneys as may be required to carry on our public works. SAYINGS-BANKS AND THE GOVEENMENT INSUEANCE DEPARTMENT. I should like here, Mr. llamlin, to refer very briefly to the growth of business during the past year in connection with Savings-Banks and Life Insurance, as affording a very fair criterion of the continued improvement which is taking place in the cultivation of habits of economy and prudence amongst the people. In the savings-banks of the Colony on the 31st December, 1881, the amount held in deposit was £1,549,515, at credit of 61,05 i accounts, or an average of £25 7s. 7d. for each account; on 31st December, 1882, the amount was £1,832,047, at credit of 68,358 accounts, the average amount being £26 16s. There Avas thus an increase of £282,533 in the deposits at the close of the year 1882, and 7,304 in the number of accounts open. Of the large amount of £1,832,047 accumulated in the savings-banks of the colony, £1,470,950 was deposited in the Post-Office Sayings-Bank. Considerable attention has been bestowed on the work of the Insurance Department in the direction of extending its usefulness, and especially in bringing its benefits more readily within the reach of those who may desire to insure for small amounts. The results have been very satisfactory as regards both branches of the department, the new business of which now exceeds a million sterling per annum, being double the average amount hitherto annually attained. The Ordinary Branch assurances in force number over 17,000 policies, insuring upward of five and a half millions. The new assurances average at present nearly £100,000 per month. The accumulated funds of the department now amount to more than three-quarters of a million. These figures appear to denote that a growing section of the general public possess the means and the desire to make prudent provision for the future, and are availing themselves of the advantages which the department offers. LOCAL FINANCE. The passing of the Roads and Bridges Construction Act has, I am glad to say, enabled the local bodies to begin many useful wojrks; but, owing to the fact that the money for the construction of main roads was not available until about February, the work completed under the provisions of the Act has been less than would have been the case had the money been available in the spring of the /ear. The amount available for construction of main roads was estimated at £200,000, but applications to the extent of £640,358 were received,