Rhodesian Budget

Press, Volume CVI, Issue 31119, 23 July 1966, Page 15

Rhodesian Budget

(N.Z.P.A.-Reuter— Copyright) SALISBURY, July 22. The Rhodesian Finance Minister, Mr John Wrathall, said in presenting his Budget to Parliament yesterday that he had been forced to assume that AngloRhodesian talks might fail and that sanctions would remain in force.

The talks, aimed at finding out whether there is a basis for negotiations to end the deadlock over Rhodesia’s declaration of independence, began in London in May and then switched to Salisbury. They are at present in recess. Mr Wrathall said that he had budgeted for the worst.

“I have had to assume that the talks may fail and that sanctions will remain in force, although we all trust that these talks will have a satisfactory outcome,” he said. “I believe that Parliament would agree that it would be unwise to gamble on their success.”

Mr Wrathall told the House: Although he could not give any figures for the current secret tobacco sales, these had so far gone much more satisfactorily than most people expected. The country entered the new financial year (on July 1) with a surplus of

, £1,480,000, in spite of eight months’ sanctions. In spite of the effects of sanctions, Rhodesia's exports during the first six months of 1966 totalled £46.4 million, which was 17 per cent lower than the same period last year without taking this year’s tobacco exports into account. While there had been some retrenchment in industry, African unemployment during the first six months of this year had been kept down to a remarkably low level. Contrary to general prebudget expectations, Mr Wrathall announced that there would be no change in the basic rates of income tax or super tax.