DOMINION’S NEW LOAN.

Taranaki Daily News, 4 July 1921, Page 4

DOMINION’S NEW LOAN.

58 PEK CENT. UNDERWRITTEN, Telegraph.—Press Asan.—Copyright* , Received July 3, 5.5 p.nu London, Julyr 6. The underwriters have received. 5S per cent, of the New Zealand loan.-d Aua.-N.Z. Cable Assn. Y; MR. H. BEAUCHAMP’S OPINIONReferring to the loan of £5,000,000 which the Prime Minister (Mr. W. F< Massey) is raising in London at a rate, of interest of 6 per cent., at a minimum of £96, Mr. Harold Beauchamp, chairman of directors of the Bank of NewZealand, stated at Auckland that with the cost of underwriting, he assumed' that the cost would be 6J per cent. Hol was not at all surprised that this ure would have to be paid. The minion could not expect to get moneyj cheaper at the present time. As a mat-l ter of,-fact, the India-Council had cently raised a large sum at 7 per centd and if the Dominion could » raise its loan on the terms indicated it would bq a matter for congratulation. Mr. Beauchamp entirely approved of the policy of raising loans for short periods in view of the high rates ruling and the possibility of the rates falling. It waa a fact that the shorter the perod oj the loan the greater the return to thaC investors, but he considered that the right to repay in 15 years in the prej sent instance was a valuable option the Government to possess.