TWO MILLION LOAN

Dominion, Volume 13, Issue 213, 3 June 1920, Page 6

TWO MILLION LOAN

LARGER ONE TO FOLLOW

TEN YEARS' CURRENCY

STATEMENT BY MR. MASSEY

A statement concerning a loan to bo offered for public, subscription in New Zealand was made by tho Minister of Financo (Mr. Massey) yesterday, as follows:—

"The Government is making arrangements to give investors an opportunity of taking up New Zealand debentures at S per cent, at pnr for a. term of ten years. Tho loan will take tho form oithor of inscribed stock or bearer bends at tho option of the subscriber. Nominally this is a loan of two millions and the money is required for public works only. Tho loan is also irtended for tho purpose of encouraging natioual thrift and of encouraging New Zealand people to use their funds for the development of their own country. This sum of two millions is not all that we shall require during tho present year, as it is practically certain that another loan of considerably larger amount will lie placed locally in five or six months' time. It may be noted that the interest is at the rato of 5 per cent., whereas the 'ate en all the war loans was '1| per cent., but. on the other hand, interest on this loan is not free of income tax. The security is undeniable, and I hope that a considerable amount will bo subscribed. "Applicatipns for amounts from ,£SO upwards vfill be accepted. Banks and registered sharebrokcrs are to bo allowed commission at the lato of ss. per X 100."