INVESTMENTS IN CANADA.

Putaruru Press, Volume IV, Issue 150, 16 September 1926, Page 1

INVESTMENTS IN CANADA.

BRITISH AND AMERICAN. I 7 1 It lias been conservatively estimated \ that British investments in Canada j aggregate 1,590,000,000 dollars or t about the same as before the war, \ whereas United States investments in Canada have increased -from 750,- : 000,000 dollars in 1913 to 2,525,000,000 dollars at the present day, an advance j of 276 per cent. There is a vast difference between the nature of British investments and those of the United States. British j money, has gone into land mortgages, , banking, insurance and railway se- j curkles, whereas United States in- i vestors have t sen attracted by indus- I trial securities of all kinds, including j pu'.p and paper mills, metal working | industries.,, hydro-electric develop- I ments (large'y in conjunction with | paper mills) general manufacturing j through branch factories, and to a j smaller extent government and muni- ! cipal securities. The huge increase : in United States investments was given I greatest impetus during the post-war | period, when for a short time Cana- j dian currency was at a discount of j 17 per cent, in the United States. The 1 resultant influx of United States investment funds was in a great measure responsible for bringing the exchange between the two countries back to parity, with occasionally even a slight premium in favour of Canadian currency. That British investments have stood still may be attributed partly to the fact the British funds have been at a discount and partly to Britain’s own internal difficulties but with the renewal of the tide of migration to Canada and the return of sterling to parity, capital has again started to flow into Canada, particularly into mining, paper and milling ventures. The increased flow of British migration to Canada will furthermore inevitably create an added demand for British products. Mr F. W. Field. Senior British Trade Commissioner in Canada reports that he is constantly receiving enquries from British motorcar manufacturers regarding the possibility of starting branch factories in Canada. Mr Field is of the opinion J that if the peculiar needs of the Ca- , nadian market are studied their efforts would meet with success. Canada has now the largest favourable trade balance per capita of any country in the world. The actual favourable balance for the fiscal year ending March 31st was 4H.134,405 dol- ; j lars, an increase over the previous ■ I year of 116,705,299. Almost the entire ! J balance, Or. 392,631,542 dollais was a favourable balance with the British : I Empire, leaving only 8,502,563 in Ca- ! j nada’s favour in trade with foreign -1 countries. Canada had an adverse balance of trade with the United States • of 123,970, 454 dollars.' 3 The total volume of trade during t the fiscal year was 2.255,939,839 dollars, an increase of 377.645, 659 or - 21.1 per cent over the previous year. / Canada's trade with Great Britain 4 was worth 672.955.590 dollars, an in1, crease of 124.736.596, or 22.8 per cent. ; Imports accounted for 10.2 per cent a and exports 59.8 per cent of the in- - crease. Trade with the United States aggregated 1,095,650,246,, an increase r of 155.715.594, or 16.9 per cent. Ime ports accounted for 63 per cent and s exports 37 per cent of the increase. y Canadian trade within the Empire has made phenomenal increases since the inception of inter-imperial prec; feu'ential tariffs in 1897. Canadian n imports from the United Kingdom then d amounted to 32,5£4,305, dollars while

Empire were 2,388,'647 dollars. During the last fiscal year British imports were 163,729,749 dollars, and other Empire imports 43/,'967„22-14 dollars. Exports to Britain in 1897 were 62,717,941 dollars, and bo Ithe rest of the Empire 4,048,198 dollars. In the last fiscal year exports ito Britain were 32,958,265 dollars, and to the rest of the Empire 35,634,989 dollars, imports from the remainder of the