NEW ZEALAND FINANCES.

Otaki Mail, 23 August 1922, Page 4

NEW ZEALAND FINANCES.

i.i il NTIO HA* TI'l'iNIOl) I HI, i:i 'liM.i!. I HI, \'.\\ i>l 111 1 I'. IX 'MIM' >N." While speaking al Poxton last night. Ihe Crime Minister ( Mr Massey) said he had recently had the figures for tin lirst four month.--' operations of tin present financial year. During I hose months the revenue went down. In r.i.M..lieu 1,-ss than the corresponding four months of last year. But he had this consolation: that the expenditure went down by t 1,200.000 in thi sain.- period. Those were hard tacts, uu.l whatever might be said to Hie contrarj. tin- effects of Hie policy (.<( economv could only be felt slowly. The country would feel the benefit shortly. Long before the end of the year had been reached, the expenditure would in well within the income, and when that time came, he would be abl< to reduce taxation. In February the income tax would be colcote,i .ami the officers of the Department, who knew their business, advised him that m-xt year's income tax would be two millions less than that of the previous year. They had faced ,i drop last year, as well as a huge drop in Customs duties and in other I icpari aon's. They had got through it last war, und he could tell them they weiv going to do all thej could to get through it again. He could not tell tie in that the country was going to liavo a surplus. but they would do everything possible to show the people of this country a. sa.tisfaclo.;.- balance sheet at the end of March next. He believed the country was now well round the corner in its recovery from the depression which had afflicted it. in common with every other country. The prices of our produce had improved very considerably. Wool was a lot better, and lie predicted that the new season was going lo open Verv well. Dairy produce had taken the place of wool as our chief primary industry, and the returning prosperity of tins Country was largely due lo the energy una hard work of the i pie on the dairv farms of the Dominion. The> deserved all they got. and he wished them all luck and happinesss. Mr Massey also said the Government had don.- everything in its powci lo make both ends insect, and had got within t-'7:ic">'i of il at the ■ml of the las; financial year. When ;t was considered that at that time tin Government had half a million pounds' worth of coal in stock above it: usual supply, it would be found llift a measure of success had been achieved. He did not wan; to do any borrowing more than was absolutely ni •_• -s.try, bap there would have to be another loan and it would have to be raised in England. But it was fortunate that New Zealand was the favourite Dominion, and. could, if it kept within its means as at present, raise h on veiy favourable terms.