AGREEMENT REACHED

Rotorua Morning Post, Volume 1, Issue 79, 24 November 1931, Page 6

AGREEMENT REACHED

STATE AND COMMONWEALTH. SAVINGS BANKS MERGE. ■REIIEF OF OLD DEPOSITORS. SYDNEY, Sunday. Sir- Robert G'bson, chairman of the .Commonwealth Bank Board, and Mr. \j Malley Wood, president of the New ..South Wales Government Savings Bank, jointly announced that an agreement had been reached for the .amalgamation of the two banks. . The draft terms provide for the ixxxnxediate relief of the old depositort of the Savings Bank to the extent oi 10 per cent. of their deposits. The ;Rural Bank eurrent accounts are tc be made available for normal drawinfs. The Commonwealth Bank Board intends to make available at the earliest possible date the whole of the *qld depos'tors' balanees. The interest ebligation is to be revised and brought into line with the objeetive qf the Premiers' Conference and the National conversion loan parity of repaynaent. The State Treasury obligations to 'the Savings Bank and to the Rural -Bank are to be extended. £ The opinion is expressed that it *s .desirable that the Commonwealth "Bark' should finally endeavour to rexrganise the National Savings Bank, in the administration of which each State should be represented, such Bank to be linked with a central bank--ing inst'tution. ■ The agreemext reca'res the approval of ihe State Government and the Conamcnwoalth Treasurer and also the ratification of the State Parliament..