PROPOSED STATE BANK.

Wairarapa Age, Volume XXXII, Issue 10153, 25 November 1910, Page 5

PROPOSED STATE BANK.

AN INTERESTING REPORT. THE BANK OP NEW ZEALAND. (By Telegraph.—Press Association.) WELLINGTON, Last Night. In the Legislative Council this afternoon, the State Bank and Currency Committee, to which was referred the question of considering the advantage or otherwise of a State Bank of Issue and Deposit,£and a State paper currency, reported that: (a) The establishment of an entirely new State Bank of Issue and Deposit was not advisable, and (b) that a permanent and effective partnership,:between the State and private shareholders of the Bank of New Zealand, or the acquisition of the present shareholders' interests on equitable terms by the Stale, is degirable.As regards a State note issue, it is reported that the present provision for the issue of notes by banks is sufficient for ordinary requirements, and that little or no advantage would be gained by the issue of btate notes for ordinary requirements, but that, to meet exceptional demands as m times -of panic or abnormal' withdrawals" of deposits, some provision is needed for temporary issues of non-redeem&bie State notes or State guaranteed-notes. The report was referred to the Government for consideration.