PROBLEMS OF THE WAR.

Taihape Daily Times, Volume 7, Issue 70, 21 November 1914, Page 6

PROBLEMS OF THE WAR.

LITTLE EITECT IN NEW ZEALAND. WAE FINANCE ARRANGED. DUNEDIN, Nov. 1?. In the course of a speech at South Dunedin to-night the Prime Manser ma de statements to show how in consequence of measures -adopted b> tbe Government, is having a verv slight effect upon the internal afiairs of the Dominion. Referring to questions of finance, Mr. Massey said the most serious difficulty they had to face was during the present year, when £8,000,000 of shortdated debentures fell due. When war I broke out they were faced with the difficulty that £3,200,000 of this amount was unfortunately in the hands of speculators, who refused to renew, arid thought to force the Government on to the open market. They said they wanted their money, and wanted the Government to raise another loan to pay off the previous one. The Government said

I it was not going to do anything of the I sort, and they had now made other and I better arrangements, and had got I £3,200,000, and could pay off this liabilI ity. (Loud applause.) The GovernI ment was out of its difficulties in ftI nance. At present there was a diffiI culty in raising money in London, but I the Government had fixed up its war I loan with the assistance of the Imperiol I Government, and there was not a counI try in the world to-day feeling the I problems of the war so little as New I Zealand. They had not had to dismiss I a single man on account of the war —in ■ fact "they had employed more. Public I works would be kept going, and would ■ employ the same number of men as at I present and more, if the necessity arose. I Not another country in the Empire I could say that. I The time had come in connection ■ with the public works policy for a Hstrong forward movement for making lot roadSj bridges, and railways where Hthey were needed. But for the war the would have raised a comHparatively large sum of money for pnbKic works to open up the country and Hind work the people. At Temuka Hie had quoted certain figures, and had Hshown that the deposits in the Post H)ffice Savings Bank last month had exHeeded the withdrawals by over £150,Hoo. It was a good record of the proof Hf the prosperity of the country, and ■he money would be put to a good pnrHose in employing labour or for the AdHances Department. I Whem ;the war broke out the AdHances Department was in a splendid Hosition, and the Government was able Ho lend\money up to £2OOO to settlers, ■450 to workers, and £60,000 to local Bodies. When war commenced these Hgures had to be cut down to £SOO for but this had now been put up Hjain to £750, and it was hoped to Hise it to £IOOO in a week or so. If a Horker wanted money for a home he Huld get up to £4OO. If he had the ■eurity there was no difficulty. (UpHar, and cries of "Where is he going I get the aeeurity?") The money was Her, amd was being lent at the rate of HOO,OOO a month at present. ft— . i ia i, „