THE NEW LOAN.

Hokitika Guardian, 25 September 1924, Page 3

THE NEW LOAN.

Tile announcement tliat tlio Hank of IXcw Zeaand was to lend I've Government .01,125,000 at o', per rent to liuan.ee farmers affected by the mo:aturiuni came as a suiq rise for the facts were well guarded, (says the “Auckland •Star.”) Investors in Sto: k Kx.liange soeiiritios suspected somethin;; hut were uliable to forecast wlmt. was 1 ending. Those who bought Bank ol Xew Kea.laml shares overnight found themselves the next day richer bv the extent of Os per share. The shareholders are not complaining at the new issue of shares, but there are others wonder- ' i„g to what extent political pressure - ■was brought to bear on the bank to find this money. It was stated some * weeks ago Hint the Xew Zealand Government. was issuing Treasury 'bills in ll.ondon for a million and a half and Afr Massey stated that the bills would lie, repaid out of the loan to be issued in April next. Apparently these hills were not issued and the Bank ol Xew Ken.hi.nd was forced into finding the money. This loan, which is at o', per cent upsets the Govern,meat's policy ef pegging down the interest rate to .5 per tent. Mortgagees must now pay o-l per cent on Joans from the State and local bodies will also suffer.