The Ashburton Guardian. Magna est Veritas et Prævalebit. SATURDAY, JUNE 9, 1888. THE LOAN A SUCCESS.

Ashburton Guardian, Volume VII, Issue 1863, 9 June 1888, Page 2

The Ashburton Guardian. Magna est Veritas et Prævalebit. SATURDAY, JUNE 9, 1888. THE LOAN A SUCCESS.

Tho tenders for the New Zealand Loan, which were opened m London on Thursday last are most satisfactory considering the way m which this colony has been decried, both m its own Press and m leading journals m London. The Act under which the loan is raised was only passed at the beginning of this session, and was Bent Home by the 'Frisco . Mail which left Auckland on May 21st. The mail will not reach London till about June 25tb, but the necessary steps were taken by cable so as to take advantage of the present rather favorable state of the money market. The minimum for the loan was fixed at £96 10s, and it was thought that tenders would be m at about £98. We cannot, therefore, complain if the amount tendered was £97 15s, seeing tho unfavorable light which has been thrown upon New Zealand's credit. The last loan of a million and a half at 4 per cent was tendered for on May 28, 1885, and it was found that nearly £7,000,000 were offered. The present loan is for £2,000,000 at 4 per cent, and there have (been 600 tenders put m and the total amount subscribed was £8,024,800 and applicants at £97 15s will receive 76 per cent. Sir Julius Yogel m his Financial Statement m June, 1885, sjaid : " Early m January, 1885, the third and last million ot tho three million loan of 1882 was negotiated. The average rate obtained was £99 10s Id for each hundred. The million and. a halt loan authorised last year has quite recently been negotiated at a still better figure, namely an average price of £100 6s 3d. Consols were, then lower than m January." On the 80th of May our 4 per cents were quoted at 97£ while consols were 1 02£. Those who are managing the loan on this occasion were, of course, compelled to fix: the minimum at less than the market price of the same stock, and, therefore, £96 10s was the lowest acceptable. The loan is now secured and it is a guarantee that investors at Home have a very good hope that the future of .b ew Zealand is belter than most people are inclined to think it will be. With the issue of this loan we hope nothing further will be required, but that tho income will meet the expenditure, and with the return of prosperity and protection of local industries the colony will soon be clear of debt altogether. 'Jhe prospects of the loan must be gratifying indeed to those who feared that it would hang fire.