FINANCIAL STATEMENT.

New Zealand Times, Volume XXXII, Issue 5123, 24 August 1877, Page 2

FINANCIAL STATEMENT.

The Financial Statement, it is generally admitted, is’a most! satisfactory one. In-the-first place, the solid facts which if discloses are diametrically opposed'- to all the* nonsense and gossip, which a few Opposition hangers-on of journalism havedisseminated during the past few months. In„the.4}ext„pla.ce»,Jiwdly the., most cap-.. tiouV : critic "can "assert that there is anything mystifying about the', simple." tale of bur national pecuniary position which thb "H6hT’lhe*‘Cblbniar-Tfeaßurer lias told.This last fact is eminently satisfactory, for even; if• MajorATKiNSON'liad' had 'tb 'fe-' late that the colony had gone financially to the bad during the year just ended, and that tile financial outlook for the year to cpme was not hopeful, it would still be and give more satisfaction, that he should say this plainly, without any attempt to mystify or confuse. As it happens, however, the Treasurer was not only in a-position f to' speak confidently of the past but to speak most hopefully of the future. In the first place, as an actual (act, the estimated revenue for ’ 1876-77 was within some three thousand pounds of the actual revenue received* so .tliafeven had there been ho saving on the expenditure, the colony would not, so far as inejome and expenditure go, have been in a bad position. But it will be remembered that the Government let members return to itheir- 1 homes at- 1 the close of last session with a promise, distinctly given, that . the . utmost econoniy should 11 be used, not ' only in ; 'departmental, but in every other class of expenditure. That promise no one cah say has not beeri redeemed. On the Public Works Account there was a saving!of -. over five hundredjand fifty; ' thousand pounds, whilst in every instance of departmental expenditure the expenditure shbws up. : much- leas than’ the appropriation. The windfall, to the extent of some £ILOCK), caused byithfe surplus ffoih the year 1875-76 exceeding ,(he estimate, , whilst most gratifying* I 'does ' riot * at'all detract from the real substantial redemption'of itheir promise as, to economy given by the! Government. 'And at the same time,. it must be allowed that the main lines of railway have • not: been,, neglected as regards progress in’coristruction, whilst .'reasonable, [provision ' has ■ keen made for immigration. ' In short, it may be safely said .that scarcely;a disSehtient voice will-: be. heard as regards the absolute administration -of the colonial finances for'the 1 -past twelve months. The only point upon iwhiph,. in,.,fact,..criticism ,can be at, all evoked'iS as totKeways and means for the! coming year; and it is not likeTyTtpat criticism-in) thj3,-direq^on s cam , impair the position‘taken up by the ColoWe have now as an element] of our finance, one long known in the AustralianCrilonies'df mfiniteadvari-; • tage to bach of them, and yet a factor in our calculations of a rather disturbing character.,, The revenue- / arlsirigQrom i -the J leas'irig arid! sale of Crown lands has been in Victoria* and New South Wales (more especially in .the latter) the,real.source, .qf, , the perfedtl^pleihrincbondifibnoftheirha-' tional incomes as apparent from year to )yoai. w« have always pointed put that the abilitv of New Zealand to support'itself without! taking the land fund into the general *reyen;n&,Uhas;!shbHm(tliat; firian-l dally this colony occupies a far healthier .position.! than either of its -Australian 'sisters; and the leading journals of these' coloniesj ~in„cpmparipg ,the;. position j New Zealand with theirs, have borne testimony uto i the ctrufh.Of.our remarks.? Well, nOw the question has evidently presented itself to fhoso^whO'SdfairiistSi 1 tfiW' government of this colony : shall yre, _ ip ‘order to provide ways and 'moans,' in- : creasy taxation, or shall we, without ‘making the land funeb,colonial revenue, and ;without destroying the distinctive' charade I: of localisation which it has hitherto i enjoyed, that fupd pay - - back"apportion of the aid which throughlocalisation it; has received from tha.cqlO- T r nial’tevbnue 1 It is almost needless to point hut thatL-thd-' conclusion iat-which'- ' the-Treasurer has arrived under these circumstances is not only proper_and just, but ; is’ in reality most advantageous to those districts, which the,.contribution, of. the land 'fund ’towaitfs-' ‘trays aria means will most affect. 'The • land fund,of the .* provincial district of Canterbury is to be Charged riqth a'sum of £68,000, and that . of P.tagd with a sum of £109,000. We have reason; to. believe that the hearty desire of Otago being to see genuine settlement i on 'her waste ‘lands promoted, and to fdirly recognise her colonial liabilities, the the Treasurer'will ‘ excite no discontent there so long as there is no interference with the !-principle of the people for the -land- aridq land for : the; , people, i. The ..present Government being too in favor; [as! they have practically shown, of the settlement of the land bj'.'meaha of a deferred (payment system, gives the best guarantee that the wishes of. Otago will, be respected!- ’ -Nor is' it likely that Can- 5 terbury will object to giving her moiety of the amotmt ..by, which-her,,(and .fund, /has beeniaidedf But even IP objections’ did arise in either of the quarters mentioned, a! little reflection \vpqld .shoybtha.t the, course’ proposed' by the Government is the most beneficial possible,, for either of these i provincial districts. Suppose, for instarice, that instead of this course, fresh.tax’atioiiiirii the shalpe of'a'projierty i tax were] adopted,—where (vpuld, it press heaviest l Why, in Otago and‘Canter- •' Again, look at the absolute relief the other financial, prpp a psals_ of the GjOvernraent give tb thesb aistricts! Their land fund it was that, in the years pro- ; ceding abolition, paid for the education of their children and the maintenance pi their chantkble ituftilutiOniii'.'' But 1 under the .new I order of things the land fund will i. be i practically,„ Relieved . of-j fchejjg; charges. * What is the result 1' Why, that the contribution or restoration that they are now called Upon-to make (arid that for only a year) is fully compensated for by their positive gains in the direction we have indicated. There are : -other* p'oints in the Firiancial Statement which require notice, arid one, of ( which, ,bjit, scant'justice has 1 been u dpne''hithertc 'by' the Opposition journals, is that of the temporary loans effected ,from, the Banks of New South Wales arid New Zealand. The full particulars of the terras on which those loa’nß!wece( l Qbtainpd:-are*;given'.by: ; MajAtkinson, and show that they are Airiest fdirly; leftrit ioj the House to decide whether a loan oO£2jD()0 ) 000''8hdll ! be> the Hdmp market. . He has shown how r the: airioun t 6f'' this o laan ’’pari? be-fedneed ’ ■tb £11,20(1,090, but hei has also* unadvisabld it ivdrild be to dispose of our guaranteed debentures -in, .order to,effect this reduction. He’has further pointed out that'by reducing the proposed expenditure pp public works by one half-no appeal .to, thb'London money market need be for the, .next .eighteen ’,beV.yefy declines’ to 'advise the'" House tq adopt this course. Consistent with ;&ne| economy be: pushed ahead’." It is~ necessary for orir*-'welfare, for the maintenance of our" public credit, and. it ia best for the 5 ' public creditor, that they should be pushed’ihead. There need be no fear

in going to the Home market for money. The. city articles in The Times., inti, in leadini>.finanoial papers daily and weekly/ •make\ records, which show how' 'sound ip .our national credit in London. To-day, for instance, they note an advance' of | or £ per cent in New Zealand securities'; to-morrow, and for weeks after, they note these securities firm, until a further ad-^ of-Hiigland lips been turned frpnp fhe de---ceptions Of (South Americau/TUrkish,and now seeks its outlet ); in .a,natural direction, namely,where.then:iti6rial probityand sound business sense of a British community, besides the resources of an almost] undeveloped country, give tho best security .for payment of, ffriA,interest. what- ‘croakers havfe' endeavored to do for us, our .credit, never stood Higher at Home' than" it'does now, and dekpite what croakers may assert, our national debt is but a trifle when compared with ,the. security .on* which fthas, been lent. We ! may say in conclusion that the Auoklariddseparatio'nisfs'ia're vefyi imucht disappointed at the proposals of the. Goverrimehtvi:- ’They had 5 ! cal6alated on ' the discontent of Government supporters, if the Treasurer had been 11 liable to show a satisfactory balance-sheet, or had been obliged to resort to further taxation. But,.when be,cama T apparqpt;* that,: by, niakirig legitimate charges upon the Southern land fund the .existing arrangement could be maintained, all hope of seizing tho. Southern land; fund and • making it common property 'was at an end. They are now, trying the* game of persuading a section of the Southern iperabers that they are badly, treated, in hopes of inducing them to make common cause againStl'JthS:' Govrinim'Srtt. ’1 v.*K(.faf<. rumored that some of the. Otago irreconcileables are talking of joining the Auck•land. party in an endeavor to make the land revenue comflion' propertyy ( a i view of'defeating the Government. Mr. Macandrew would go a' long : way to gratify his political feelings; but \ve doubf whether he da¥e' l face' his Southern constituents to tell them that he had handed over .the land fund in such a manner. TbWe- xs.pq dp,ubt t fhat ; .nptsuit 'tile prospects o£ the separatibriista.