LONDON LOANS

Evening Post, Volume CXXIII, Issue 134, 8 June 1937, Page 12

LONDON LOANS

AUSTRALIAN CONVERSIONS

Australia's overseas debt as at June 30 last amounts to £737,600,000-in Australian currency.- Of this amount £521,900,000 was on account of the States and £215,700,000 on.account of the Commonwealth.

Discussions between the British Treasury and the Bank of England and Mr. Casey, Finance Minister of Australia, have been held, when plans were considered for conversion loans of £12,000,000 each be issued in December, 1937, and in February, 1938. A Commonwealth loan of £12,360,958 falls due on November 1 next. New South Wales is responsible for the debt represented by this loan, which was the first conversion loan arranged in London by Mr. S. M. Bruce, the High Commissioner, in October, 1932. Its issue price was 971, and it bears interest at 3J per cent. The other loan whose conversion Mr. Casey has discussed is a Commonwealth loan, for £11,409,965. It was the third conversion loan negotiated by Mr. Bruce, and was issued in May, 1933, at 99, with interest at 3J per cent. New South Wales is responsible for £6,427,465 of the loan, South Australia for £2,982,500, and Tasmania for £2,000,000.

Mr. Bruce, the Australian High Commissioner in London, has, so far, arranged conversions totalling £198,513,000, representing a saving to Australia of £4,000,000 a year. The old rates ranged from £5 15s per cent, to £3 per cent, and the new rates from £4 Is 2d to £2 18s 6d per cent.

The National Council of Wool-selling Brokers advise that dates of clearingup wool sales in June have now been arranged as follows:—Adelaide, June 10; Sydney, June 14>and 16; Brisbane, June 21 and July 1; Perth, June 28.