BANK RETURNS.

Evening Post, Volume LXXXI, Issue 85, 11 April 1911, Page 8

BANK RETURNS.

THE MARCH QUARTER— • The- statutory' returns for the^quarter fended- 31st March, of the five banks ■grading in New l Zealand are now all to hand,. -They make very interestingreading in view of' the fact that tlie produce year, bo far as "meat, butter', and wool jit any Bate are concerned, is drawing to ■a? close. The position in regard to free-3eposk-s is seen in the , following com"gjirison: — *~" ~ — -«. •. Mar. '10. Mar. '11. ;" £ £ ■Govt. deposits ... 2,336,167 3,165,614 Ere6 'aepoiits ." .~..~ 11,585,410 12,974,315 Fixed- deposits ..? 10,570,352 tt;495,732 ~ 24,491,929 2&,635,661 *~ Omitting Government^ deposits,- the increase in deposits amounts To £>Is£Q?2Bs. jThe Government deposits are probably increased by a portion of the- five million loan now awaiting utilisation ?or the purposes authorised r_~ - „ ■" Coming to free deposits, the position, as with individual banks, is set out as jpllows.; — ,". . . *. _ ": Bank. 1910. 1911. ! £ £ 'Kew Zealand ... 5,326,875 6,101,005 Union 1,690,262 1,800,379 U.S. Wales 1,459,553 1,638,585 Australasia ... ... 1,176,434 -1,478,022Kationa! 1,932,286 1,956,324 .11,585,410 12,974,315 , The incr-ease, amounting to -£1,383,905, is substantial considering that themoney; is earning nothing, but it shows a reduc-i tion en the increase of free deposits for the December quarter of last year, which amounted to nearly £2,000,000 over the corresponding "quarter of 19091 FIXED DEPOSITS. ■ The fixed ■deposits -show a decrease, £74,620, which would seem to indicatethat either the banks are disinclined to overburden themselves with such money, "or that the savings have been diverted to other channels of. .investment. No' doubt, too, the Waihi position as it is to-day, has had some bearing on the situation. The various deposits for the past five March quarters show in the aggregate a substantial increase for March, 1911, all round. They a'se 'a-s follow :—: — "March - - Govt. Free. Fixed. £• £ £ 1607 ... 2,415.216 11,343,582 9,700,511 1908 .... .J. 74&902 11,534,879 9.-553,694 1909 ... 1,224,482 10,100,938 9,983,942 1910 ... 2,336,167 11,585,410 10,570,352 1911 ... 3,165,614 12,974,315 10,495,732 ■ - *« ADVANCES. ' The advances show an increase of •£1,£31,466 for all five banks as compared v Trith the ..March quarter, of 1910, which (teems to 'show a disposition on th& part, of '.the banks to meet all legitimate mercaStflielreq'niresienifs2"^rhe''advances made lay i:he particular banks were as follow : " Bank. 1910. 1911. £ £ New Zealand ... 6,118,241 6,764,506' Union,- .' 2,968,291 3,163,694 N.S. Wales ... 2,260,913 2,625,423 Australasia ...- ... 2,266,513 2,707,787 National 2,464,165 2,748,174 16,178,123 18,009,584 All the banks show proportionate increases for the quarter. Discounts, howevar, show a shrinkage of £24,511. The loans to the public during the' quarter under review, acre better seen in, -the .comparative table herewith, going backi-five years. Adv-ances. Discounts. Total. £ £ £ 1907 ... 15,551,547 2,002,806 17,554,353 1908 ... 18,542,310 .2,095,795 20,638,105 1909 ... 18,186,909 2,132,562 20,319,471 1910 ... 16,178,128 1,815,317 17.993,445 1911 ... 18,009,584 *1,790,806 19,710,390 Taking a period of five years and exanmang the relationship between banks-* and their customers' deposits (fixed and. free) and advances including discounts,, it w/31 be eeen that' the position for each year \was as follows :—: — Excess, i March. Deposits. Advances. Deposits. '£ £ £ - 1907 ... 21/044,093 17,554,354 3,489,7391908 ... 21,088,574 -20.638,104 450,470 1909' ... 20,084,880 20,319,470 *234,590 1910 ... 22,155,763 17,993,444 4,162,319 1911 ... 23,420,047 18,800,390 4,669,657 - f .Excess of advances over deposits. Tae'pofiition for the March quarter of 1911 showe plainly enough that the banks have more than recover-ed their ground lost in 1908-9 notwithstanding the esi&nsion .of public accommodatjon as reflected in theincreases in advances t for this March quarter compared with last. "- NOTES AND GOLD. . The note -circulation and coin and bullion, or metallic reserves, now remain to be dealt with. There is to be noticed 'an increase in the note circulation and a. '^slight decrease in the reserves, in--•v/£ich' each -bank- participates. -The relationship between the 'two accounts' for x the past five years is as under: — ■ jDoin and MaecK. Circulation. ' Bullion. £ £ 1907 ... 1,647,731 ' 4,602^58 1908 ... 1,640,783 4,984,566 ' 1909 ... 1,587,052 " 4,712,936 1910 ... 1,618,120 5,077,683 -■ • 1911 • • ■ ... 1,661,463 . 5,030,760 Tha- -expansion of the ' note circulation. GhoaJJd indicate that the Home 'trade isv impisaqraig. • Taking the returns as a whole they 6hfb*v'«flte Tjanks to be in a practically impregjiable position.