WAR COSTS

Wairarapa Times-Age, 26 February 1943, Page 2

WAR COSTS

AID FROM BRITAIN. STATEMENT BY PRIME MINISTER. (By Telegraph—Press Association.) y WELLINGTON, This Day. The Acting Minister of Finance, Mr Fraser, in an interview last evening, stated that his attention had been drawn to a statement published yesterday in regard to the financial aid which New Zealand had received from the United Kingdom Government towards our overseas war costs. “Tne total value of the assistance, as quoted by the correspondent, was £oo,3lo,uuu sterling,” said Mr Fraser, “whereas in fact the total advances at December 31 last were £20,220,689 sterling. “By arrangement with the United Kingdom Governmtnt, shortly after the outbreak of war, that Government agreed to finance on a loan basis New Zealand’s costs of maintenance of our division at present serving in the Middle East, together with our share of the cost of the Empire air training scheme. As already stated, the total amount advanced by the United Kingdom Government to December 31 last was £20,220,689 sterling, of which, in terms of the undertaking that we would repay as much as possible from time to time a total of £11,412,677 sterling, or over half, has been repaid, leaving a balance owing at December 31 last of £8,808,612 sterling, and this is provided for. The arrangement does not apply to equipment or other supplies sent from the United Kingdom for use in, New Zealand. Cash has been paid for such items as and when the supplies are shipped.”