NEW ZEALAND LOAN

New Zealand Times, Volume XXXVII, Issue 8354, 14 February 1913, Page 8

NEW ZEALAND LOAN

“ OVERDOING IT.” “EFFECT HAS BEEN TO DEPRESS MONEY MARKET.” By Telegraph—Press Association— Copyright LONDON, February 12. The “Westminster says that New Zealand is overdoing it. The money market did not expect that colony to demand anything like three millions. The natural effect has been to depress the market. The “Westminster Gazette” states that some of the usual'' underwriters are refusing to underwrite the loan. SUBSCRIBERS’ BONUS. LONDON, February 12. The New Zealand loan payments will be spread over four months, this, with accrued interest, making the bonus to subscribers about 275. WHAT “THE TIMES” SAYS. “RECEIVED WITH DECIDED DISAPPROVAL.” (Received February 14, 0.55 a.m.) LONDON, February 13. “The Times” states that the underwriting of the New Zealand loan has been received with decided disapproval. The patience of the Stock Exchange underwriters is exhausted owing to the existing glut. MR MASSEY’S VIEW. “EXCEEDINGLY SATISFACTORY." MARTON, February 13. The Premier informed a “Raugitikei Advocate” representative this morning that the three million 4 pel' cent, loan at 98 .was successfully being underwritten in London by the Hon. James Allen. In an interview he said he considered this exceedingly satisfactory. He has had a cable every day from London reporting progress, but has not been able before to divulge the information. Special to the “Times.” MARTON, February 13. Speaking at the Marton snow today, the Prime Minister, referring to financial matters, in connection with which tlie Hon, James Allen was now in Loudon, made two important statements. Firstly, Mr Massey said it was to be understood there was rio‘ difficulty regarding tho prdinary revenue, as for the ten months ended January 31st, it exceeded the revenue for the corresponding peribd of last year by £382,000. His chief concern, however, was with the public works and land settlement promotion funds. He was pleased to say that difficulties in that connection were disappearing., When the Government came into office it found that it was committed to local bodies to the extent of • £750,000 at a lower rate than the money could be procured for. He merely mentioned this to give an idea of the obstacles his party had to contend with.' That liability had since been reduced by £30,000. The Dominion would now realise why it was necessary to send Mr Allen Home to arrange the finances. Short-dated debentures were piling up and had to be arranged for, as well as tho securing of loan money for public works, purchasing lands for settlement, and to meet requirements in connection with advances to settlers and workers. He was glad to say that Mr Allen had been exceedingly successful, and that morning he had received a cable announcing that the loan had been placed at 4 per cent at 98. This was very gratifying, and showed that the Dominion stood well in financial circles in London. The loan, it is understood, is for three and a onarter millions, including % new loan of £1,750.000 authorised by Parliament last session.