TIGHT MONEY.

Dominion, Volume 6, Issue 1630, 23 December 1912, Page 4

TIGHT MONEY.

A—■ THE CHANCES OF A CHANGS. ME. BEAUCHAMP'S OPINION. (By Telosrasn.—Press Asßoolatlon.l Auckland, December 21. Mr. Beauchamp, chairman of directors of the Bank of New Zealand, interviewed, said that whilst recognising the financial stringency in the Dominion, tho position was entirely different to that in 1908, when tho stringency had boon caused by sudden, unexpected drops in the value of tho primary product—wool. To-day, wool was approximately eixpenco a pound more than.in 1908, representing •£4,000,000. additional value. The present money tightness was felt mnch by the Government and public bodies, and those speculating heavily in land. Among t'ho latter, many who had bitten off 'more than they could financially masticate wore without prospect of relief until the finances of the Dominion were, in a healthier condition. Personally, 'ho anticipated that the Hon. .1, Allen's mission to London would be successful in the way of arranging for a renewal of loans totalling fifteen millions maturing in the»near future, and also setting , an additional j£2,000,000 and £2,500,000 of new money. There was every reason to believe that the present money tightness would vanish during the nest six to nine months. No doubt as' a result the Government wonld be able to assist local bodies to a considerable extent, bnt he did not believe these bodieq should be encouraged to undertake so many public worts as under previous Governments. The small margin between imports and exports shows that there 19 still a large amount of private extravagance. It would greatly assist the financial equilibrium if a little more thrift was practised.