RURAL CREDITS

Hokitika Guardian, 20 December 1927, Page 4

RURAL CREDITS

T?KGTLAT:IOXS THIS WEEK. AUCKLAND. Dec. IS. An announcement that regulations under the lim:i] Intennedinte Credit Act would be gazetted during the coming week, and that Boards to administer the Act would he set up. was made by the Prime Minister, Hr Coates, at Awnkino on Saturday. “The question has been asked as to what Parliament is doing to help the man on the land.” said Mr Contes “Probably, from the point of view of the individual farmer, the piece of legislation which will help most is the Rural Intermediate Credit Act. “Whatever may be said to the contrary, that Act stands on tihe Statute Book as one of the finest Bills that lias been passed by Parliament. It is an endeavour to find a short cut process under which money can he found for farmers for short terms of up to five years at current rates.”

The Prime Minister said that one of the last things he did before he left Wellington was to initial regulations under the Act for circulation among members of Cabinet. They would he passed by Cabinet at its meeting on Wednesday, and they would then he gazetted and the Boards would be set up. It would then be for the farmer to decide whether lie would go to the bank or bis stock and station agent for short term cerdit, or whether be would raise bis money under the Act,. The scheme had been successful elsewhere, and when he had made enquiries he had been informed that the only change from the original which would he mode by countries which had an

opportunity of redrafting their schemes would bo the inclusion of the provision for individual farmers to take advantage of its operations, apart from the group system. In the Xew Zealand Act there were both group and individual provisions. The individual producer would be able to obtain short term credit, either with the hacking of his friends, or through the* medium ■of stock and station agents or banks. ■‘in my opinion tlit' Act contains the genesis of everything that is like,lv to be useful to the former in giving him easier finance, and it will help in stabilising the land situation in the Dominion,” continued MV Conies, ‘tit will enable settlers not only to buy land, but to get money i at six per cent, to stock their holdings, and bring land into a state of productivity. If they could not get the credit that is provided for in the Act, they would probably have to give promissory notes at anything up to 14 or 15 per cent for their money. By passing the .Act Parliament has done something that will be a boon to settlers.”