8.-6

be blamed for so including these sums, for the law distinctly lays down that the proceeds derived from the sale of the debentures issued under the Act just mentioned " shall form part of the Consolidated Fund." The law was made by my predecessors, but nevertheless it is my duty to carry out its provisions. In previous years (as will be shown by a subsequent table), and when deficits were the order of the day, the revenue was aided by the issue of debentures against sinking funds to double and treble the amounts issued during the last few years; and when the Ministry in office in 1890-91 showed a surplus of £143,965, the revenue had been aided by the issue of debentures to the value of £288,000. I subjoin a table of balances of the ordinary Bevenue Account, year by year, since 1871, showing the amount of surplus or deficiency at the close of each year, also the amount of debentures issued in aid of revenue. From whatever cause arising, this table, at any rate, shows at a glance that the finance of the Liberal Administration for the last seven years has been successful —nay-, it may be truly observed that the balances during that period form a marked contrast in our favour to those under the successive Conservative Governments. We have often been taunted that we know nothing of finance —not even the rudiments ; but, although only an unsophisticated plodder in the intricate labyrinth of finance, I claim to know, at any rate, how to keep on the right side of the ledger. Perhaps it was our predecessors' high-class ability in financial matters which so constantly produced an under-estimated expenditure and over-estimated revenue, with the result of landing them in financial deficits.

Table showing the Position of the Ordinary Revenue Account at the Close of each Financial Year commencing 1871.

* A deficit of £1,796,450 was wiped out by the conversion of £1,832,000 of Treasury bills into permanent debt. The surplus of £35,549 is simply loan-money. f The deficit had really become £242,294, reduced to £92,294 by the issue of £150,000 as permanent debt of the colony. { A deficit of £395,255 was also wiped out by the conversion of £400,000 of Treasury bills into permanent debt. The surplus of £4,745 is simply loan-money.

ii

Aid to Eevenue from Sinking Fund's Debentures. Balances. Year. Colonial Treasurer in Office. Deficit. Surplus. £ £ 521,183 505,617 256,963 123,160 320,388 451,227 612,930 358,201 560,058 1,522,772 1,837,666 1,628,316 £ J IV: rune 30, 1871 1872 1873 1874 1875 1876 1877 1878 1879 March 31, 1880 1881 1882 1883 ' 1884 1885 1886 1887 1888 1889 1890 1891 1892 1893 1894 1895 1896 1897 1898 Julius Vogel. ft ff ff ft "H. A. Atkinson. John Ballance. H. A. Atkinson. 35,549* tt 247,700 252,200 251,000 258,184 263,200 275,200 288,000 282,300 280,300 284,500 117,800 145,400 70,300 69,600 152,111 130,108 112,141 92,2941 tt Julius Vogel. tt £745} H. A. Atkinson. 50,836 36,568 143,965 165,573 283,779 290,238 180,024 215,558 354,286 521,144 tt John Ballance. J. G. Ward. tt E. J. Seddon. « a