BANK OF NEW ZEALAND.

Hokitika Guardian, 6 December 1918, Page 4

BANK OF NEW ZEALAND.

WELLINGTON, This Day

Tlie Half-year General Meeting was liekl to-day, Mr Harold Beauchamp, Chairman of Directors, presiding. The Chairman said :—This being the Half-year Meeting of the Bank, the business is confined merely to the declaration of an interim dividend and the election of a Director. INTERIM DIVIDEND.

Although we are not submitting any accounts to-day, it will interest the shareholders to know that the results of the Bank’s -working for the half-year have been satisfactory, and that the Board has been able to declare the usual interim dividend of six per cent. The dividend -will be payable in Wellington to-morrow, and at Branches on receipt of advice.

BOARD OF DIRECTORS. Mr W. Watson, one of your representatives on the Board, retires by rotation on 3lst. March next; and having given due notice of his intention to seek re-election for a further term, and there being no other candidate, I have mnoh pleasure in declaring him duly elected. LOCAL CONDITIONS. The past winter was an exceptionally severe one and the spring months were cold and wet. Farming operations, in consequence, are somewhat backward. Lambing generally lias suffered, and it is feared that in some of the high country in the South Island a series of late snowfalls have caused losses of stock. The dairying industry has also been adversely affected. Better weather, however, is now being experienced, and having regard to the high pi ices ruling lor our staple products, the season gives promise of being on the whole a good one.

THE EPIDEMIC. It is unfortunate that at the time when the glad tidings of the signing of the armistice reached the Dominion, we should have been suffering from one of the worst and most farreaching epidemics that the country has ever experienced. The disease — influenza, in many cases attended by complications—was, there is little doubt, introduced by returned soldiers and visitors from overseas. Unhappily, a large number of deaths have taken place, and business has been more or less disorganised throughout the length and breadth of the Dominion by the universal sickness. The Minister for Public Health, ably seconded by the Mayors of the various cities and towns and by a host of voluntary workers, lias been doing all lie can to grapple with the epidemic ; and it is to be hoped that by the prompt and effective measures which have been taken', it will be stamped out at no distant date.

When the ravages of the disease had reached their most intense stage, the staffs of the various Banks (already seriously reduced through so many officers being absent on military duties) were affected to such an extent that it was impossible to carry on business as usual ; and with the sanction of the Minister of Finance, all Bank offices -were closed for one week from Wednesday, 20th November, to Tuesday, 26th November, both inclusive, the object being to give the incapacitated officers an opportunity to recuperate and the attenuated staffs a chance of overtaking their -work and pulling up arrears.

POST-WAR PROBLEMS. Following the close of the Avar noAV comes the difficult task of arranging the terms of peace. In this connection it is gratifying to ixote that the representatives of the Dominions Avill have seats at the Peace Confei’ence. One ot the outstanding questions for Austi’alasia is of course the destiny of the German Colonies in the Pacific. These cannot, arid must not, be returned to Germany to become in the future bases for submarines and aircraft, and therefore a menace to the peaceful development of the British Dominions in these seas. Thci’e are, ot course, other matters of great moment iu Avhich Ave are interested, that are bound to be discussed at the Peace Conference ; but the determination of the disposal of the German Colonies in (he Pacific is, to us, a A'ery important question. Australian and Ncav Zealand statesmen are, happily, unanimous on this point. The active Avork of repatriation) restoration, and reconstruction must noAV be undertaken, and the greatest intelligence and the greatest organising ability Avill have to be utilised, for this purpose, for at evei’y step complicated and serious pi’oblems are bound to pi'esent themselves for solution. It seems to me that the transition period Avill be no Jess trying and anxious than the war period has been ; and the best efforts of evexy individual in the community will be needed to maintain the economic machinery in smoothly-running order. I do not anticipate any immediate variation in the prosperity that this Dominion lias enjoyed during the four years of Avar. There will probably be for some time a pressing demand for our foodstuffs and raAV materials. It is practically assured that the Imperial authorities Avill take the output of avool for a period of tAvelve nxouths from June following the declaration of peace ; and arrangements have uoav been concluded with them to take our output of cheese and butter for this and the folloAving season, at satisfactory prices. This places the avool and dairying indiisti’ies npon an assured footing for a considerable period. As to meat, hoAvever, Avhich bulks so largely in our exports, the present term of the commandeer is for only three months after termination of the Avar. If this be not altered, it is conceiA'able that in March or April next the refrigerated stores will be full to the doors, and transportation and realisation of the meat in store Avonld probably occupy not less than eighteen months.

It is, I consider, highly beneficial to New Zealand that these forward contracts haA’e been made Avith the Imperial Government in regard to avool jmd dairy produce; and in my opinion it aa*oulcl bo to the advantage of the Dominion if the principle were also extended to meat. The AA'ar

prosperity of the Dominion has been largely due to the operations in produce by the Imperial Government; and until, at any rate, normal business conditions prevail and the shipping position improves considerably, the advantages of a continuance of these operations are to my mind obvious.

The scarcity of tonnage is likely to continue—indeed is certain to continue—for several months, notwithstanding the fact that a fair amount of shipping will be released through there beiDg no longer any necessity to transport munitions and men.

It is moreover of the utmost importance to us that the income from the sale of produce should be as large during the next two years as it is this year, to enable us to meet our obligations in the meantime whilst we are making provision for the readjustment of our affairs to meet the changed conditions. Had we been able to foretell a year ago just exactly when the ivar would end, we could have made some preparation to meet the situation; but the end has come suddenly, and the post-war problems have yet to be grappled with. One great burden that the Avar lias forced upon ns is a huge public debt. The Minister of Finance has repeatedly stated, siucc his return from England, that the public debt is about £200,000,000. This at ty per cent means an interest bill of £9,000,000 per annum, or say £750,000 a month ; and there will be, in addition, the heavy pension bill to meet. These tAVO items will absorb about elet'en millions to tAA r elve millions a year. This is a A'ery heavy load for the country to carry, and it necessarily means that taxation.must for some time be heavy. There is, however, one feature about the debt that redounds to the credit of the people. A large proportion of the money required for the prosecution of the Avar Avas obtained Avithin New Zealand. It Avas recently stated officially that the amount of the war loans raised in the Dominion Avas equal to about £4O per head of the population, a truly magnificent achievement.

In view of all these circumstances, it is to be hoped that the imperative necessity of making the oltendiug nations bear a substantial portion, if not the Avhole, of the Avar costs entailed upon the Allies in defeating their nefarious designs will be strenuously insisted upon at the Peace Conference. Much will be made of the fact that Germany is financially in a bankrupt state and unable at present to pay indemnities. That may be true; blit if so, it is Germany’s concern. She has brought it upon herself and can therefore be left to find a Avay out of her own embarrassments. But Germany is not bankrupt in resources. She is rich in natural wealth, and my firm opinion is that that natural Avealth should be charged with the burden of the debt Avhich the civilised freedomloving nations of the world have had to incur to pi'otect their liberties against German aggression. The financial aspect is, moreover) not the only one that calls for consideration. Here, at this trystingplace of the ages, stand outraged Justice and afflicted Humanity, appealing to the champions of Right - justice demanding vindication of her honour, and Humanity crying out for redress of her grievances. The victors cannot turn a deaf ear to their appeal. Those responsible for the perpetration of the countless inhumanities, barbarisms and iniquities that have made this Avar a horror of horrors, should be arraigned at the bar of an international judicial tribunal and receive from that august Court the just punishment of their offences. The exalted station of a culprit should have no influence upon the deci’ees of such Couit. The braggart and blaspheming “All Highest,” if shown to be responsible, should receive the same treatment as the lowest common soldier.

Thus avo shall perfect the Avork Avhich our gallant dead lxaA'e had to leave unfinished, and fill up the measure of their sacrifices, so that the splendour of their completed achievement shall go down Avith undimmed lustre to a grateful posterity, and shine for ever Avith an imperishable glory.

Mr. W. Watson said I tliank the shareholders for again returning me to the Hoard unopposed, and assure them that I shall endeavour not to neglect their interests. The great changes in the business of the Bank brought about by the Government commandeer and purchase of the Dominion’s principal products, the lack of shipping, the absence of so many men, and the necessary taxation and removal of money for war expenses, have undoubtedly affected banking prollts and that expansion and growth of ordinary business which otherwise would have taken place. On the other hand the Bank’s funds have been kept well and safely employed during die period of tbc war, and everyone will admit that there lias been no war exploitation on its part. It is important to the Bank, as it is to you in your private capacities, that restitutionshould bo made by the country’s enemies not only of the money of which we have been depleted by their unprovoked war and, to provide the pensions and other demands consequent upon the deaths and other war casualties. It is beside the question whether Germany can, ur can not pay these just claims. No such argument was entertained by Germany when she bled France white, besides taking Alsace and Lorraine from her in 1871. Neither was the Boxer indemnity remitted because China was unable to pay; on the contrary her revenues were taken as security. It is nonsense to say that milder measures should be adopted towards Germany with her largo resources, and her people who, socialists and all, supported the war and all its frightfulness with bravado as long as they hoped to gain by it, and only changed to whining after defeat. It would bo extremely unjust that wo and our descendants should he saddled with the debts and taxation caused by the war, ns well as having to endure the loss of those who can never be replaced. Let us trust that New Zealand’s delegates to the peace conference will use their host endeavours to sec that justice is done.