EARLIER SESSIO

Rotorua Morning Post, Volume 2, Issue 593, 26 July 1933, Page 4

EARLIER SESSIO

■ ("Post" Special Com^J

GENERALLY WelJ WILL PREVENT EVteil OVER cttbSl vacation^I THE CENTRAL~B^ ■

The decision of Sf?' ' Minister (the Right Hon f es) to call Parliament to ' lxer than was generally a! ' bemg well received hlj cles as there are few°l wish to see the delibeJ Before the adjournj last, the Government tooU •til October owing to ti, 1 the Prime Minister would I from New Zealand at ti, Economic Conference. k considered by some inetnW met that the deliberations conference would have an i bearing on Ne.w Zealand's f! icy, and it was thought aj, , await what decisions had ha No\v that the eonference I to agree on the major isa is no longer any reason /v -Zealand Parliament should mence its yearly work as sflt sible. _ Even though the Go have little legislation to bri -the Parliamentary rnachiii slowly, and traditional func the "Address-in-Reply debati Financial debate sometimes weeks of the session. New Zealand has not yet the practice of the British Commons of setting so ua or days aside for a partit cussion 01* debate, and somi many as sixty speakers > their opinions in one discus ten when a Government \ for legislation to be prepai encourage a long debate, ; quently one sees the whip the more silent ones into ac Measures SheW So far it would seem tha vernment has very little 1 in course of preparation, 1 Parliament adjourned in M there were several measai were quietly pushed aside fo time. One of these was tb Bank Reserve Bank Bill, e the recommendations of Niemeyer, and at the pre both Mr. Coates and the are very keen that this Bill proceeded with. This legisl the consequent machineryfi tablishment of the central drafted in England, andit ret that the financial auth England are keen thattbel should establish central 1 the purpose of co-ordinatin banlcing policy. At the pre neitlier Canada nor Kea has a"central bank. In Aus Commonwealth Bank carrie functions of a central bank, it is also a commercial k in South Africa they have bank similar to that propose Zealand. Sir Otto Niemeysr'sA

It is only natural that mercial banks in New Zeala be opposed to a new insti they will be deprived of pai functions. For example i posed that the new bank s the Government accounts a is an important function of of New Zealand, it lvill bi lose this business. Thecei will also advance moneyti vernment on Treasury Bilh, again the commercial bank some of their revenue. h opinion a central bank woa "to exercise a gradually influence over the credit s New Zealand, and by tiffi minimise the disturbances direction which are liahle tt of an unregulated or ^ regulated market. A r® would futher provide m the gradual developnient o iod of years of a short-ter market. Finally such a 3 provide an instrument oi tion with the central hanE countries — a co-operaW becoming of increasing and which at present f able point of contact m land." Sir Otto was e® the central bank should political control or ra ■ e added that if this could J - ed the bank would donior good. He further rec0 the bank should have ® lege of note issue an i ^ issumg powers oi tn . should be abrogated. 1 doubt that his with the Bank of « ed him largely in outbn^ institntion for , j| It is over two and jJJ since Sir Otto repor Zealand Government, came back from t e ence more convmced j the necessity for mendations into °P • derstood that Mr. . further inquiries on view of the iacu ,f! originatedfcomH""^ that he too wiU retui er of the legislation-

Building ConsH^ Another measme ernment had on 5( session, but whic . the Statute Book; f $ struction Bill, recommendations ^ mittee which was ^ gate building conjf # Napier earthqrm " thy measure conw ^ which are desiS®® e earthquake and it is not hkeiy j with serious 0PP0^ffe! sure that -nning of ducedatftelg^ when time is often legislation.