Manawatu Herald SATURDAY, AUGUST 5, 1899 The Proposed Loan.

Manawatu Herald, 5 August 1899, Page 2

Manawatu Herald SATURDAY, AUGUST 5, 1899 The Proposed Loan.

We are glad to see that the Government have had pluck enough to propose raising a loan of one million this session, for pluck it certainly shows us they know the use their political opponents will make of the proposal. The loan appears to be much too small, but for this we must thank the coming general election and the Opposition for. The necessity for raising money has been put very clearly by the Colonial Treasurer, and it is difficult to show reason why it should not be raised except the usual one made by the Opposition that the present Ministry cannot be trusted. This, however, is the greatest bosh that can be imagined as the people have trusted them for years and noproof of improper expenditure has been given. It is true public money has not always gone to districts which thought they had the greatest claims, but the money has been spent on public works so that the colony has benefitted generally. However the proposed loan is earmarked for purposes which bear on the face that money is needed for, and show that instead of a million, four or five millions would be better. It has always been our view that no public work should be done out of revenue, as if it is, we are the people who have to pay for it, and those coming after benefit just as much. The railways are an instance in favour of our contention, as supposing the population had been able to have found the capital embarked, some sixteen millions, how very hard up we should all be, but of course we could not and had to borrow, thereby enjoying the advantages of railway communication and besides handing over a valuable asset to our descendants. It is so in all cases, even in bridge building and road making, all that the people of the present day should attempt to find is the money for interest, and in the case of bridges, &c, also the amount to provide a sinkingfund of a long date. Now we get as facts that year by year our population grows, our Crown

lands get more peopled, needing increased mileage in railways, an extension of telegraphs, and increased school buildings. Are we to find these sums out of current revenue or shall we borrow ? or shall we refuse to give these people we continually urge to go on the land, the conveniences, even the necessaries of civilisation ? These are the questions our representatives have to consider, and the practical solution is that come to by the Premier, to borrow. If the Treasurer's statement is correct, or allowing for Opposition criticism, even nearly so, there appears to be plenty of revenue to pay further interest if the objectionable principle of executing public works out of it, is abandoned. We find there is a credit balance this year of £495»86i, to our mind a preposterous and wholly unnecessary balance, as it proves that that amount has been taken from our pockets most wrongfully, as it was not needed. If we can raise this sum it shows that without raising any fresh taxation there is an over-abundance of revenue sufficient to pay four per cent on a loan of over twelve millions, and therefore any amount to pay the £40,000 needed on a million. The Treasurer recommended us all to be careful and to put by Something for a rainy day, taking it for granted that as his revenue came in so nicely we must all have plenty of money, but it is just reversing the fact, as his revenue having been made so unnecessarily more than he requires our revenue has been so much the more reduced. We believe we should all be better off if what public works admitted necessary were carried out with borrowed money, and the revenue reduced to an amount not in excess of the public requirements.