By Electric Telegraph

Mount Ida Chronicle, Volume IV, Issue 244, 7 November 1873, Page 1 (Supplement)

By Electric Telegraph

THE FINANCIAL STATEMENT. The Colonial Treasurer (FTon. J. Vogel) made his Financial Statement last evening, the following brief outline of which has been kindly furnished to us by him for publication:— The Treasurer said: The result of the financial operation of 1871-2 proved to be within £3UjO of what was estimated. The present indebtedness of the Colony for Colonial loans was £6,881,261. The indebtedness of the Provinces for Provincial loans was £3,448,475. The Colony was contingently liable for the latter. The risk of the Colony, as for the Provincial loans, could certainly be underwritten for a comparatively small sum. From the Colonial liability of £6,881,261 had to be deducted £415,352, for sinking fund accrued, leaving a nett balance of £6,465,908. One matter which he considered of great importance to the Colony was the bold and determined attempt which had been made to reduce the rate of interest. All the Colonies had, in fact, gone in the same direction. New Zealand had issued certain amounts of four per cent, debentures, and the minimum price was fixed at £9O 10s. Of the parcel of £20,000 offered in New Zealand, nearly the whole had been taken up by the Trust Fund Commissioners. In Australia about £150,000 of the new loan had been sold. The operation compared favorably with what had been done by other Colonies, and especially by' Queensland. The confiscated lands had yielded well during the yearj and had enabled a considerable amount advanced with respect to them to be paid off. The receipts for the year 1872, exclusive of the £4,500 revenue still to collect, which had not been brought to account at the end of the year, showed a total of £1,119,402, being an excess of £43,402 over the estimates, and of £111,957 Over the receipts during the year 1871-2. The The customs revenue showed an increase of £32,144 over the estimate, and of £76,960 over the actual receipts of the previous year. After providing for all the liabilities of the year, there was a balance of £3,835 left with which to commence the current year, 1873-4. The proposals to extend Provincial borrowing powers would be that the Provinces should borrow only on specific security, and that it should be mainly provided that neither the Colony nor the Province should be liable beyond the specific securities given. The works for which it was proposed that Provincial borrowing should be allowed were roads, bridges, harbor works, reclamations, buildings for educational and, in some cases, for charitable purposes, Goldfields works, and light branch railways and tramways. The Colony could not possibly execute the main arterial works which it had in charge if it was to be liable to borrow also for local works. It was further proposed that the Assembly should, in some cases, allow loans to be raised against specific blocks of land, and that fifteen per cent, of the whole of the land revenue should be paid into the Provincial loan account, and should afford security for these (Provincial?) works. The proposals for public works in the Colony up to the present time had fully answered the expectations held out when the policy was originally announced. Money was being borrowed at a less rate than was anticipated in 1870. It was expected that, before the end of the current financial year one hundred and twentyfive miles of railway would be opened, in addition to the thirty-one miles that had been opened in Canterbury and exclusive of the Port Chalmers line. Land was now being sold, and in large quantities, at what appeared to be less than its value. Indeed, the absolute value of land had very much increased of late, and it would not be right to construct further railways without retaining land as security for their cost. ,The Government had, in fact, come to the conclusion that they would not construct any other railways than those already authorised, except coal lines, without security in land to the nominal value of the estimated cost in each case. It was necessary that a firm stand should be made this year in presence of the immense demand there was for local works. The Government would indicate the additional railways for which they meant to ask authority; but, with one exception, it was not intended to hurry on these.lines, for the railways already in course of construction afforded quite sufficient occupation for the available labor in the Colony. The Government proposed to take authority to fill up the three gaps in the trunk line between Canterbury and the Bluff, and to ask for authority to spend a further sum of £IOO,OOO on the line between New Plymouth and Wanganui, the expenditure being carried on slowly, so that the works might progress concurrently with settlement. The House would be asked to sanction a continuation of the line from Mercer to the frontier, also to be connected with the main trunk line, to enable men to be amassed on the frontier, whose presence there would afford the best possible guarantee against wanton outrages such as that which had lately occurred. A separate Loan Bill would be proposed, authorising the borrowing of £300,000 to cover the cost of interest on works during their construction. There would also be included £IOO,OOO for the purpose of subsidies to Road Boards, £115,000 for public buildings, £35,000 for lighthouses, and £50,000 for telegraph ex*

tension. The land which it was proposed to set apart for a line between Foxhill and the Brumier had been examined, and, unless for its mineral resouroes, it did »not afford an equivalent security. In order that advantage might be taken of the mineral resources of the district more mist be known of them, so that the railway might follow such a course* as -would be suited to the development of these resources. Porthe present, it would be 2*roposp.d, with a survey of the line between Foxhill and' the West Coast, to combine a thorough investigation of the mineral resources of the district. Any lands taken for railway reserves were to be subject to the ordinary land laws of "the Province in which they were situated, except that, with the consent of the Superintendent, they might be liberally employed for purposes of settlement. The Government would be willing even that land should be given under a homestead law to people who would actually occupy it; and they proposed to introduce a measure by which immigrants who paid their passages to the Colony would receive free grants of land subject to occupation conditions. Government fully recognised how desirable it was, as the demand for labor in connection with public works decreased, and as the laboring men of the Colony saved inoiiey, that they should be induced to settle upon the land, this object would be promoted in.every possible way. Coming to the finances of the current year, the estimated expenditure for 1873-4 amounted to £1,131,838 It was proposed that during the current year £50,000 should be again divided amongst Road Boards. It was intended to propose to alter the Tariff, not because additional revenue was desired, but because measurement duties were very unfair in their opinions. The total of the estimated revenue for 1873-4 was £1,180,500, to which must be added the estimated surplus of £52,000 with which the year was commenced;. but ther,e would assuredly be demands upon that surplus for Supplementary Estimates and for unauthorised expenditure. The great aim of the Colonist, as well as of the Government,, should be to make New Zealand the home of a large, contented, and prosperous population. It was with that aim that these proposals had been made, and he (the Treasurer) hoped they would receive from the Assembly and. from the Colony earnest yet kindly consideration. The delivery of the statement occupied over two hours and three-quarters.