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Thames Star, Volume X, Issue 3436, 29 December 1879, Page 1

Ok the subject of small loans the fok lowing remarks appear in Westgarth a circular of September 26th :•—The 'practice of sending for sale to this market small municipal, or other loc«4 coloaial loams, has now become so general, and is attended with so much difficulty, inconvenience, and disappointment, that a few words of explanation on the snbject maj be useful. New Zealand has been. especially fruitful in this way, and the issuing parties, feeling assured of the excellence of their security, are surprised to learn that these small loans cannot be disposed of, not even with so much as 6 and 7 per cent, interest. The fact is that a Tery small stock, no matter how good the security, is an unnegotiable stook * simply because so small. With this prospect the market will never buy such stocks, and the investing public begin to follow the market's precaution. These small loans, therefore, as they pour unceasingly into this market, meet with an ever narrowing range of custom, until there is at last an inconvenient block of suob small stocks. If such loans are to continue to be . issued, the only \ cure is to devise some plan of unifying the stocks by a consolidation arrangement for each colony - under a Government commission. The require* ment of the market is * uniform stock of marketable quantity, each successive issue forming a continuation exactly of what preceded. The various borrowing bodies must consent to be jointly and severally liable in such a case. Such a stock, regulated by a Government commission* might he issued at 5 per cent. It is, of course, difficult to make such arrangements ; but were there are difficulties versvs difficulties, it is for those concerned which difficulties are the leaet. " That bed is not long enough for me," said a very tall, gruff old Englishman, upon being ushered into his bedroom by an Irish waiter at an American hotel. " Faith an' you'll find it plenty long enough, sir, when you get into it," was < the reply ; " for then there'll be two feet more added to it." Exit Pat, with a boot fetching up the rear.