BANK RATES

Hokitika Guardian, 24 May 1928, Page 4

BANK RATES

MINISTER ADVOCATES REDUCTION. AUCKLAND, May 22. A reduction in the hank rates was advocated by the Minister for Health the Hon. .Mr Young) speaking at the opening of the Advertising Exhibition at the Town Hall. “ I hope bankers will see the necessity before long of trusting us with lower rates of interest,” lie snij. “ When they can see their way to do that financial Conditions will be made a little more attractive to the Inriner and the business man than they arc to-day.” Lower rates would lie justified. according to the Minister, by the improvement in the export trade, the buoyant state of the British investment market, and the signs of returning prosperity in the Dominion. “ It is gratifying to note that a healthier tone is prevailing in the community,” lie said. “When the balance of trade goes against us, as it did to tho extent of £3,000,000 in 1927, we arc. looking for trouble, but when the balance turns in our favour, as it has done this year to the extent o! £10,000,000, then money is brought into the country for investment.” Ihe Dominion’s credit was reflected in the financial operations in London. Hie New Zealand Government’s last loan of £5,000,000 for development purposes was fully subscribed when the offices opened for business at 11 a.in. and seven times over-subscribed when the offices closed the same day. That pointed to a revival of trade and an abundant' of money in the Old Conntrv and was a magnificent compliment to the Government and people ot New Zealand.

The Minister appealed to New Zealanders to give preference to Britain over America in the matter of purchases. “As far as I can judge from an analysis ol conditions in America and Great Britain,” he said, “ the people of America are salesmen pure and simple, hut the British manufacturer is something more—he is a

trader, a buyer and seller, and lie buys your goods in return. I hey are the people who build up your trade. Oui export trade has shown a great increase this year, the balance over imports amounting to £10,000,000 in our favour. It establishes my statement that Britishers are traders, the buyers of our produce, and this should encourage us to trade within the Empire whenever we possibly can.”