COLONIAL POLITICS.

Auckland Chronicle and New Zealand Colonist, Volume 2, Issue 40, 9 May 1844, Page 2

COLONIAL POLITICS.

We have taken every opportunity of observing the progress of Debentures during the week they have been in circulation ; and are happy to state that they have been better received by the public than some people expected, or perhaps wished. The only obstruction to their free circulation appears to be the want of smaller sums, and this undoubtedly a great drawback as the deficiency of silver in the Colony is fe't much more, in consequence of the increased demand created by the Debentures. Many a poor man is obliged to spend a pound, where, perhaps he did not require to lay out more than five shillings. The inconvenience of not having Debentures in smaller sums has greatly impeded their circulation, people being compelled to refuse them, where much change is required from the scarcity of silver. If the Government remedy this evil, we see no other reason in the ordinary transactions (f business, why they (should not be taken at par, being satisfied if the merchants and shopkeepers consult their own interest, they will not attempt to impede a measure so manfor their own benefit ; and which has been resorted to as a temporary expedient in order to mitigate a 'much greater evil, which it was impossible entirely to avoid, and his Excellency certainly deserves our best thanks, for he has done all he could under the circumstances for the benefit of the Colony. We cannot see what | good can be effected by depreciating their va'ue, except it be the private of the individuals who do so, as we will not suppose they wish to injure the Colony, and embarass the Government. We know some of those who were loudest in their outcry against them, have been quietly buying them up, wherever opportunities occur of obtaining them at a discount, but we think people act unwisely who part with them at a' loss. There is not much doubt but that the Sydney merchants will be glad in their commercial transactions to take them at par. Since the above was in type, v/e are favoured with the Government Gazette of the Bth inst., and find that the Governor intends at the earliest possible period to cause a " Bill to be laid before the Legislative Council, authoiizing the issue of debentures to the amount of not more than £15,000; and to make such debentures issued in this Colony, legal tenders in payment of any debt or, demand whatsoever."

We are glad by this timely notice, that an end will be put to all speculation in debentures, before much loss has accrued to the creditors of Government, who were compelled to take them. By sanctioning a bill to make them legal tenders, his Excellency virtually pledges his honour to the payment of the notes when due; this we did not doubt before, being convinced that such emergencies were contemplated by Lord Stanley, wh° must have been acquainted with the financial embarrassments of the Colonial Government of New Zealand, previous to Captain Fitzroy's departure from England; and probably the means adopted by our Governor are in perfect accordance with the instructions, of the Home Government. Just arrived, better news still / Debentures are now taken at par at the Bank, and all the mercantile houses in town, We observe by a despatch from Downing Street, dated lOth April, 1843, that the hills drawn by Captain Hobson, for five thousand pounds, in favour of Mr. J. H. Wray, have been refused acceptance by the Lords Commissioners, and debentures are authorized to be issued by the Loca' Government for the amount of these biii ; .