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Hokitika Guardian, 28 November 1932, Page 4

Tot. controversy in connection with 1 the exchange rate had advanced a further stage with the decision of the directors cf the Bank of New Zealand that an increase in the exrliarm? ratei would not be cf advantage to New Zea.Vxk It was generally expected that th-a docisoin would be on the line's made. In conveying the decision to the directors the manager made an interesting, suggestion that might well receive, the sympathetic consideration of the- Government. It is that the Government should relieve the farmers of the land ta.x obligation this year and should further take over the responsibility for the payment of local rates. : Sir Henry Buckleton estimates that this would! he equivalent to re.lieving farmers of chargds aggregating two millon pounds, 'and it would have the added advantage cf lifting a burden of anxiety from the minds of lrnainy county councils. The idea is advanced! as an. alternative to the suggestion made by the chairman of He Associated Banks that the State should oav ■?, bonus on production. The Prime Minister has already expressed disapproval of the bonus proposal, presi 1 rmhlv because it would add to the difficulties of the Government. The scheme lvas also been criticised on the score that it would mean a loan of several millions from the banks, and that the money, after parsing through the hands of prechmers, would simply filter back to the hanks and he "'.npli-d in reduction of the liabilities of the farmers.