The Guardian And Evening Star, with which is incorporated the West Coast Times THURSDAY, NOVEMBER 26, 1931. THE TRADE BALANCE.

Hokitika Guardian, 26 November 1931, Page 4

The Guardian And Evening Star, with which is incorporated the West Coast Times THURSDAY, NOVEMBER 26, 1931. THE TRADE BALANCE.

The trade balance of the Dominion is showing a. steady improvement, indicating that force of circumstances, as well as the request of tire Government to reduce expenditure on foreign goods, is having due effect. This rebuilt will assist in steadying ana strengthening the national finances, a good step towards the recovery required to ensure greater prosperity. Tire latest trade returns, for October, ; show a reduction of upwards of two millions, .compared with the October of 1930, in the matter of imports. At the same- time: the value of exports declined £700,009 for the same period, the market value being the contributing factor to the drop*. For the month of, October imports showed a net excess of £126,000 as against exports. Over a longer term the camparison is more striking. The JulyOctober figures of 1929, gave imports a balance of nearly eight millions over exports, while last year for the same period the excess was about four and three quarter millions) Tn this year’s comparison the excess is only £825,000. Over a longer period still, further evidence to the same effect can be obtained by comparing the annual returns for the first iten months of several successive years. In 1929 there was a favourable trade balance of about seven and a-half millions; last year only two and a half millions; but this year for the period stated the favourable balance of trade |is over eight millions. This is practical evidence of the country’s success in the effort to restore the- balance of trade, and the figures read well as to the ability of the country to meet its oversea debts. The conditions of trade with the overseas have their hearing on the financial barometer of New Zealand, ancl are a factor in maintaining the credit of the country abroad. New Zealand credit has stood well overseas, and it is the aim of the Government to retain that position. There has been an excellent response to the appeal to help in keeping our credit good, ' and the present state of the trade, and the ability to maintain export volume and value, trill assist to keep the national credit good, The fact that the Dominion is able to do this in the face of world depression, shows that the country’s finance is sound at heart. The Government has established confidence here and at Home, and a renewal of the people’s confidence in the Government next Wednesday will in itself help to maintain the standard of the Dominion’s credit abroad. Finance can lie scared very easily, and its mainspring is confidence in a people and its government. New Zealand’s financial reputation stands high because the world of finance has had confidence in the country. ‘That reputation lias been won by sane and sensible' government, and it is for the people to reaffirm their confidence in those who have won the confidence abroad, and assist in maintaining New Zealand at the proud position it lias enjoyed over so many decades with the financial world nv large. : .f