FEDERAL FINANCE

Hokitika Guardian, 22 August 1930, Page 3

FEDERAL FINANCE

(Australian Press Association) ~,./ : j.<: ! ' ) MELBOURNE, Aug. 21. The Prime Minister, Mr J. H. Scullin, spent a ,few • minutes at the Premiers’ Conference tio-day before taking departure 'for' London. ' ~ ■ .■->• Sir Otto Niemey&r (Bank of England agent) and Sir Robert Gibson (Chairman- of Directors of the Commonwealth Bank) were also present at the 'conference. u -‘ ' ... - The conference agreed upon a scheme for an all round reduction in Government expenditure as advised by Sir Otto Niemeyer, arid plans were also evolved for the revision of, the programmes in order to balance the various budgets.The Federal Government’s representatives have undertaken to pursue a similar course.” It was decided to make ’ available one million sterling to South Australia, half of which will be contributed by the Federal 'Ministry, in order to ensure the preservation of that State’s solvency. It was further decided that loan moneys shall in future be spent only on reproductive works. The conference has issued a statement pointing out that there was not a, vestige of truth in the published report that it is intended to abolish the State Governors, no such discussion having occurred. Sir Otto Niemeyer’,s report on Australian finances will be .released tomorrow. At the Premiers’ finance conference it was stated that, the loan expenditure of the seven Australian Governments had been reduced from 24 to 15 millions sterling. Each Government will now receive only fiveeighths of the original sum allocated to it. .

WHERE MONEY is' SUNK. NORTHERN TERRITORY MILESTONE. SYDNEY, Aug. 21. The development of Central Australia and of the Northern Territory to date has cost the Australian taxpayer fifteen millions sterling. The capital cost of the railways has alone involved an expenditure of five and a half millions, the interest on which is ,hundred thousand sterling pe r year. The interest bill on the Northern Territory amounts, in addition, to £•750,000 a year. To-dav the white population in Central and Northern Australia is less than half what it was in 1888. The closing of Vesty’s huge meatworks at Darwin was a severe blow to the progress of that port, where expensive harbofur improvements .are languishing. Darwin to-day is visited by one steamer per month each wav. compared with thirteen steamers each wav some time ago.