THE BANKING RETURNS

Dominion, Volume 12, Issue 94, 15 January 1919, Page 8

THE BANKING RETURNS

DEFLECT COUNTRY'S PROSPERITY

A STRONG POSITION

1 Tho outstanding features in the banking returns for tne lost quarter of 1918 fl.ro a shrinkage in tho Government deposits, increases in both fixed and i'reo deposits, a moderate expansion in the advanced, und n further slight increase in the note circulation. The figures 1 seem to reflect the slight improvement that has taken place in shipping, and indicate a trend towards normality. The movements in tho three classes of deposits are disclosed in the table appended:— Dec. 1917. Dec., 1918. Gov. deposits 9,905,324 7,151,353 2,753,971 doc. Free deposits 18,496,716 20,536,868 2,040,152 inc. Fixed deposits 13,777,60114,«6,976 689,175 inc. 42,179,841 42,155,197 24,644 dec. Tho shrinkage in the Government deposits is rattier pronounced, and is tho first time since 1911 that we have had to record such a movement, as will be seen from tho table following:— Govt, deposits. December £ 1915 3,030,645 1916 6,353,663 1917 9.9K.324 1918 7,151,353 A further decrease in the Government deposits may take place during the current quarter unless, of course, tho next war loan is issued in time to secure the application and allotment moneys before the end of March. But apart Irom this I changes in the amount of the Government deposits must be expected now that the war hns ended and the time for squaring accounts has arrived. . The tree deposits or current account balances show tho substantial gain of .£2,010,172, while at the close of 1917 the 'increase under this head was only .£464,971. This is undoubtedly an excellent showing, and the increase has been shared by all the banks except the Bank of Now South Wales, as tho table appended discloses':— , Dec, 1917,-Dec., 1918. Bank. £■ £ £ N.Z 8,740,159 9,7701(6 1,030,707 inc. Union 2,417,490 2,603,904 186,414 iue. N.S. Wales ... 2,458,236 2,419,656 33,eO0dec. Australasia... 1,974,563' 2,249,106 274,543inc National 2.665.549 3159,565 494,016 inc. Commercial... 240,659 333,741 93,072 inc. 18,496,716 20,536,863 2,040,172 inc. I At the corresponding date in 1917 the. Bank of New Zealand figures exhibited a shrinkage, while now there is the huge increase of .£1,030,707. The fixed deposits also show a larger expansion than in 1917, the figures being .2689,175, as compared with .£518,725. The figures of the several banks compnre as under:— „ , Dec, 1917. Dec., 1918. Increase. Bank. £ £ £ New Zealand ... 6,928,918 7,208,199 279,281 Union ~ 1,607,405 1,682,310 74,905 Ji.S. Wales 2,044,731 2,263 918 219,187 Australasia 1,060,623 . 1,093,716 30,083 National 2,062,225 2106,105 43,880 Commercial 73,889 115,728 41,e39 13,777,801 14,466,976 mm The Bank of New South Wales exhibits the largest relative gain, the increase being over 10 per cent. ,-Tlie following table, which shows the growth of the two classes of deposits for a number of years, discloses the effects of the war on the finances of the people: Dec. Deo., 1917. Dec, 1918. Totals, quarter. £ £ £ 1913 12.293,875 10,545,345 22,839,220 1914 13,675,479 10,727,620 24,403,099 1915 17,293,719 11.851,582 29,155,301 1916 18,031,742 13 229,076 31,260,818 1917 18,496,716 13,777,801 32,274,517 1918 20,536,868 14,466,976 35,003,844 Another feature of the returns is the comparatively small increase in the advances, this increase totalling J:2,0i(i,102, while the increase in 1917 amounted to JM,364,573, or more than double. The advances made by the Several banks during the two periods disclose the following movements:— Dec, 1917. Dec, 1918. Dank. ■ £ £ £ Now Zealand 14,036,613 15,186,441 1,149 828 inc V,", 101 !.."',- 4,315,212 4.167,575 147,637 dec. N.S. Wales ... 3,577,704 3,748,007 170,303 inc. Australasia... 3,431,917- 3,771,816 339,899inc National. 4,070,170 4,477,439 407,269 inc. Commercial... 231,365 357,865 156,500 inc

29,662,981 31,739,143 2,076,162 inc. The Bank of Australasia ane; the National Bank show ten per cent.'increases, and the Commercial Bank an increase ot about 65 per cent. The TJnion Bank has reduced its advances bv d£U7,637. The discounts are less by i3«7, tho aggregates being as compared with .111,337,334 for. December, ■ 1917. The vances and discounts for a period of years show the following movements :— Dec. Advances. Discounts. Totals, quarter. £ £ £ "}3 21,826,746 2014,569 23,841,335 «» 23,121,235 1,811,573 24932808 }3}5 22,589,136 1,453,703 24,042,839 «« 25,293,408 1,668,222 26966630 19" 25,662,981 1337334. 31C00 315 "18 -31,739,143 1,333,917 il.ttliM The- volume of the advances at the enct of 1918 was nearly .£10,000,000 more than at the close of 1913. 'faking, the fixed and l'reo deposits together, and the advances and discounts together, the excess of the one over -the other for the December quarter of soveral vears is given below:—

Deo. Deposits. Advances. DodobUs. quarter. £ £ £ "H 22,839,220 23,841,335 '1,002,115 }'« 25,403,099 24932868 ; 529709 }?15 a.«5|M. 24,042,839 5,112 462 J' 16 , M,2M,Btt 25.966,630 4,294,183 J*' 32,274,517 31,003,315 11274 202 1518 35,003,844 H.fffJ/KO W/M t Turning now to the circulation, there is to be noted nil increase of ,£5!97,010 which is the smallest expansion that has taken prnfe during tlie past five yean*. Com, bullion, ami legal tender notes amount to ,£9,434,670, and are less bv i' 553,721 when conmared with the total in 1917. The position is disclosed in the following table:— nufrto. bn&^eto. ™ - 1.671,723 5,290,183 1?" • 2,61*,28S 6.2C-J.113 ,S <■ • j'™™ V,688,C88 W. <>Ml% 9,993,391 ... 7 9W *.7«1.705 9,434,670 tLI? .to boar.« mind that nlthough the circulation represents the n«wcgate amount of paper issued by tlie banks.it is not all in circulation because the banks Held <C1,311,«2 'W tender notes of other banks." The true circulation that is,, the notes in the hands of the public for the past quarter, was and not £6,761,705 J. he banks held the balance of tho notes laken all round, the figures are satisfactory, in/ that they , s h ow that the economic conditions are stable. Headers are reminded that entries or the I'eliding A. and P. Show on JMibruary 4 and o, clo-ie on Friday next. J.he prize list contains comprcliensivo classes for all sections of stock, and the ring events, wlrich include maiden, open, and steeplechase jumps, pony jumps, sheep dog trials, riding and driving competitions, are liberally treated in the matter of prize money and trophies/. The annual West Coast 15am Fair will bo held on February 6 and 7, the two days following iho show, and t-ntries close on January 21. Schedules for the show and entry forms for the Hani Fair will bo forwarded on application to the secretary of the Feilding A. and P. Association. SHEEP DIP SUPPLIES FOB NEW ZEALAND. . The scarcity of reliablo Dips and the doubt as to whether full supplies of Sheep Dips would be available on tho New Zealand market for this season's requirements have been causing sheepowners no little anxiety. But now, although it is extremely doubtful whether all brands will be available, we are pleased to say there is absolutely no need for anxiety, as Dalgety and Co., Ltd., have lately landed the bulk of their stocks of QUIBELL'S LIQUID DIP, and can now fulfil orders at present current prices. QUIBELL'S LIQUID DIP is non-poisonous and is particularly suitable for off-shears and lamb dipping. It stands unchallenged as a vermin eradicator, a promoter of growth, and an improver of tho quality of the wool. Qui. bell's is highly recommended by successful sheep-owners all over New Zealand We advise you to place your orders now to ensure this season's supplies. Dalgety and Co., Ltd., Solo Agents for Austrai-asia-Advt,