2 —B. 1 [PT. lII].

B.—l [Ft. ITT].

PUBLIC ACCOUNTS, 19 40-1941.

THE PUBLIC DEBT OF NEW ZEALAND. TABLE I.—STATEMENT OF SECURITIES CHARGED ON THE PUBLIC REVENUES OF NEW ZEALAND AND OUTSTANDING ON 31st MARCH, 1941— continued.

By the Repayment of the Public Debt Act, 1925, means are provided whereby the whole of the public debt other than that raised for State Advances purposes and those portions for which separate sinking funds exist will be extinguished in approximately sixty years from the time of coming under the provisions of the Act. The total of loans coming within the provisions of the Repayment of the Public Debt Act, 1925, is £274,576,431 12s. The Public Debt Redemption Fund Capital Account established under this Act comprises investments of sinking funds accumulated under former legislation and now invested with the State Advances Corporation £3,250,000 and the Public Trustee £7,966,688 lis. 2d.: total, £11,216,688 lis. 2d. The interest on the Redemption Fund capital is paid over to the Consolidated Fund as a set-off against the annual payments made by the latter fund to the Repayment of the Public Debt Account —viz., per cent, of the public debt cominsr under the provisions of the Act, together with 4 per cent, of the debt redeemed in accordance with the Act. Sinking funds as indicated exist for the extinction of portions of the debt to which the provisions of the Repayment of the Public Debt Act, 1925, do not apply: The balances of these sinking funds at the 31st March, 1941, were as follows: State Coal-mines Account, £6,320 10s. 4d.; Electric Supply Account, £39,322 12s. 3d.; Westport Harbour Account, £417,114 18s. 7d.; Samoan Loan Suspense Account, £3 Is. lid. ; Nauru and Ocean Islands, £35 lis. 4d. : total, £462,796 14s. sd. In addition to the special sinking funds mentioned above, special provision exists for the repayment of that portion of the debt funded by agreement with the Imperial Government, particulars of which are given on page 11. It was estimated that this portion of the debt would under the original agreement be extinguished during the financial year ending on the 31st March, 1958. Payments have been suspended by arrangement with the Imperial Government. Section 6 of the Hutt Road Act, 1939, provides that the Wellington City Council shall be kept indemnified out of the Main Highways Account from' all liability in respect of loans specified in the First Schedule of the Act totalling £276,020. At 31st March, 1941, £266,692 16s. 4d. was outstanding, against which the Public Trustee held sinking funds totalling £136,396 Is. lid.

TABLE II.—ADVANCES BY THE RESERVE BANK TO THE GOVERNMENT BY WAY OF OVERDRAFT OUTSTANDING ON 31st MARCH, 1941.

9

Annual Charge. Domicile of Principal. Nominal I — MS ■ ; Amount Due Date. I -gto i Remarks. outstanding. | „ j> j when payable _ | New Zea land. London. ; Australia. I j I j £ s. d. % £ £ s. d. £ s. d. £ Brought forward .. 349,427,574 X1 2 .. .. 12,478,003 .. 190,176,385 4 11 158,371,589 6 3 879,600 Amortization Charges. £ 2,260,020* Repayment of the .. .. * Estimated. Public Debt Act, 1925 458,700f Funded Debt .. .. •. f Represents principal repayment also suspended by agreement | with Imperial Government. 7,672J State Coal-mines .. .. i J Payable from the State Coal-mines Sinking Fund j Account. Estimated. 10,859§ Westport Harbour .. .. .. §£3,859 sinking fund, 4J per cent. Sinking Fund payable in respect of sinking funds 2,737,251 used for redemption: and £7,000 sinking fund, 1 per cent, payable Total securities charged on 349,427,574 11 2 .. .. 15,215,254 .. 190,176,385 4 11 158,371,589 6 3 879,600 on £700,000 Westport Harbour the Public Revenues and , — — — —--- Loans. outstanding at 31st March, 1941

Authority for Advances. Particulars of Advances. Account. ! Amount. [ £ s. d. Marketing Act, 1936, Section 10 .. .. .. .. Advances in respect of dairy-produce purchased for export and sale Dairy Industry Account .. .. 2,585,491 5 4 Marketing Amendment Act, 1939, Section 5 .. .. Advances in respect of meat purchased for export and sale .. Meat Industry Account .. .. 230,345 15 5 Marketing Amendment Act, 1939, Section 5 .. .. Advances in respect of fruit purchased for export and sale .. | Fruit Industry Account .. .. 66,552 12 11 Marketing Amendment Act, 1939, Section 5 .. .. Advances in respect of sundry products purchased for export Sundry Products Account .. .. 44,073 6 10 and sale Total advances as at 31st March, 1941 .. .. .. .. .. .. .. .. .. .. .. .. .. .. £2,926,463 0 6