Reverse Lend-lease Operation Reviewed

Taranaki Daily News, 4 June 1943, Page 4

Reverse Lend-lease Operation Reviewed

A new item which was not anticipated when the last Budget was prepared appears in the accounts for the year— reciprocal aid, reverse lend-lease, stated Mr. Nash in reviewing last year's operations. This is in respect of supplies to the United States forces, and amounted during the year to a total of £7,000,000. Reverse lend-lease is the counterpart of the assistance received lend-lease from the United States of America. t The supplies and services which New Zealand provided for the United States forces included capital works such as temporary camps. hospitals, and ships to the value of £3.250.000, food valued at £2.000,000, and transportation, repairs, rentals, and other services to the extent of £1.750,000. These supplies and services for the past year are shown in the war expenses account at £7,000,000, as against corresponding assistance which New Zealand received amounting to a total of £26,800,000, comprising motorvehicles. ammunition, aeroplanes. ordnance stores, oil and petrol, and supplies for other essential purposes. In considering these results, however, account must be taken of the fact that reverse lend-lease was in operation for only part of the financial year, whereas lend-lease. wh'le appearing for the first time in the year's accounts, covered a period of more than a year. Activities under reverse lend-lease are increasing rapidly, and the cost for this year will rhow a substantial increase. Although values are quoted in the accounts, lend-lease is granted not in terms of money, but in terms of the quantity of particular kinds of goods reauired for Ihe war effort. The goods and services Provided under reciprocal aid to the United States forces are paid for by New Zealand, and are consequently brought into the New Zealand accounts at the actual cost. Lend-lease. on the other hand, is included in the accounts tocomplete the picture of New Zealand's rerources for war.