8.—6.

greatly damaged by this false impression that is abroad about our state, I think is certain, and every effort should be made to dispel it. Parliament can, I fear, do little; but the people and the press might do much to correct it. In preportion as it is corrected and the truth made known, we may expect to see again a steady inflow of the best class of settlers from Home and elsewhere— a class of competent settlers who come to stay, the very class which, has made New Zealand what it is. CONSOLIDATED FUND. I will now ask the attention of the Committee while I place before it the transactions of the past year. ExPENDITUBE OP THE YEAR 1889-90 (OKDINAEY BeVENUE). The estimated expenditure for the year 1889-90, including charges under special Acts and the supplementary estimates, amounted to £4,150,703. The actual expenditure was £4,121,842: there was therefore an unexpended balance of the amount authorised of ,£28,861. Full particulars of the unexpended appropriations will be found in the Appropriation Account, and in the tables attached to this Statement. There are no items in this expenditure of so exceptional a nature as to require my calling the attention of the Committee specially to them. Eevenue of the Yeak 1889-90 (Oedinaey Eevenue). I estimated (and my estimate, of course, included the primage duty) to receive during the year a total ordinary revenue of £4,187,800; the actual amount received was £4,209,247 ; the total revenue therefore exceeded the estimate by £21,447. The Customs were less than the estimate by £49,126. The Stamps exceeded the estimate by £24,755, and the Railways by £63,340. Full particulars will be found in the table appended to this Statement. No exceptional items have come to credit during the year, but I may mention that the profit for the year of the Public Trust Office, amounting to £5,182, has not been brought to credit. Land Fond Expenditube and Eevenue. The estimated expenditure of the Land Fund, including supplementary estimates, was £128,149. The actual expenditure was £121,919. The expenditure was therefore less than the estimate by £6,230. Of this expenditure there was paid to local bodies for rates on Crown lands £11,684, and £18,159 in respect of receipts from deferred-payment lands. The actual receipts were £87,692, as against £136,100 estimated. The expenditure having been £121,919, and the receipts £87,692, there was a deficiency of £34,227 for the year 1889-90. The deficiency, I may say, would have been less by £14,000 if land to that value which was sold had been paid for in cash instead of, as it was, in scrip issued for military service and under the Forest Trees Planting Encouragement Acts. The significance of this deficiency must not be misunderstood : it means only that our anticipations regarding cash sales of land have not been realised, the preference being given by settlers to the system either of deferred payment or perpetual lease. It will be apparent that the shortcoming of the revenue of the Land Fund, to meet the costs of administration and survey, must under such a system be only temporary ; and, if we are to continue the perpetual-lease tenure, as we certainly shall, further financial provision must be made for some years to come. I shall presently return to this question. FINANCIAL EESDLTS OF THE YEAE. Ordinary Eevenue. The surplus with which we began the year was £27,768 ; after paying off £50,000 of the deficit at the 31st March, 1888; and I have just said that the ordinary revenue received was £4 r 209,247. The amount available to meet expenditure was therefore £4,237,015, and, the total expenditure having been £4,121,841, there was a surplus for the year of £115,174. This surplus, of

Deprecates false impressions abroad regarding state of colony.

Consolidated Fund.

Table No. 2. Expenditure out of ordinary revenue, 1889-90, less than estimate by £28,861.

Ordinary Revenue, 1889-90, more, than esti-mate-by £21,447.

Land Fund Expenditure, 1889-90, exceeded receipts by £34,227.

Financial results 1889-90. Table No. 2. Surplus of £115,174 in ordinary revenue account, 1889-90.

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