PUBLIC ACCOUNTS FOR THE FINANCIAL YEAR 1937-1938. PART III. PREPARED BY THE TREASURY DEPARTMENT. CERTIFIED TO BY THE CONTROLLER AND AUDITOR-GENERAL. ALSO STATEMENT SHOWING THE PUBLIC DEBT OF THE DOMINION AS ON THE 31st MARCH, 1938.

Appendix to the Journals of the House of Representatives, 1938 Session I, B-01-part03

B.—l [PT. Ill]

1938. NEW ZEALAND.

PUBLIC ACCOUNTS FOR THE FINANCIAL YEAR 1937-1938. PART III. PREPARED BY THE TREASURY DEPARTMENT. CERTIFIED TO BY THE CONTROLLER AND AUDITOR-GENERAL. ALSO STATEMENT SHOWING THE PUBLIC DEBT OF THE DOMINION AS ON THE 31st MARCH, 1938.

I—B. 1 [PT. Ill].

B.—l [PT. Ill].

CONTENTS.

PAGE TABLE I.—THE PUBLIC DEBT OF NEW ZEALAND OUTSTANDING ON 31st MARCH, 1938 .. 3 TABLE lI.—STATEMENT OF ADVANCES BY THE RESERVE BANK TO THE GOVERNMENT BY WAY OF OVERDRAFT OUTSTANDING ON 31ST MARCH, 1938 .. .. 8 TABLE lII.—STATEMENT OF LOANS GUARANTEED BY THE GOVERNMENT .. 9 TABLE IV.—STATEMENT OF THE PUBLIC DEBT FUNDED IN TERMS OF SECTION 8 OF THE FINANCE ACT, 1922 .. .. .. .. .. .. .. .. 10 TABLE V.—STATEMENT OF SINKING FUNDS ACCRUED TO THE 31ST MARCH, 1938 .. .. 11 TABLE VI.—STATEMENT OF RECEIPTS AND DISBURSEMENTS OF THE SINKING FUNDS DURING THE FINANCIAL YEAR ENDED 31ST MARCH, 1938 .. . 12-13 TABLE VII.—STATEMENT OF TRANSACTIONS IN CONNECTION WITH THE PUBLIC DEBT IN THE YEAR ENDED 31ST MARCH, 1938 .. .. .. .. .. 14 TABLE VIII.—STATEMENT, AS AT 31ST MARCH, 1938, SHOWING ANALYSIS OF THE PUBLIC DEBT UNDER THE SEVERAL PURPOSES FOR WHICH THE MONEYS HAVE BEEN RAISED .. .. .. .. .. .. .. .. 15

2

THE PUBLIC DEBT OF NEW ZEALAND. TABLE I.—STATEMENT OF SECURITIES CHARGED ON THE PUBLIC REVENUES OF NEW ZEALAND AND OUTSTANDING ON 31st MARCH, 1938.

B.—l : PT. Ill] .

PUBLIC ACCOUNTS, 19 3 7-1 938.

1*

3

Annual Charge. Domicile of Principal. outstanding. Due Date ' °1 I Remarks. £ & Interest. When payable. New Zealand. London. Australia. . _ ___ ; New Zealand Loans Act, 1932: — £ s. d. % £ £ s. d. £ s. d. £ Debentures and Stock .. .. 1,615 0 0 Various. .. .. .. 1,615 0 0 .. .. Unpresented. 50 0 0 1 Feb., 1936 5J .. .. 50 0 0 .. .. Subject to conversion under New Zealand Debt Conversion Act. 600 0 0 1 Sept., 1937 33 1 Mar. and 1 Sept. 600 0 0 .. .. Subject, to conversion under New Zealand Debt Conversion Act. 250,000 0 0 15 May, 1938 3J 7,813 1.5 May „ 15 Nov. 250,000 0 0 10,000 0 0 15 Sept., 1938 5 500 15 Mar. „ 15 Sept. 10,000 0 0 2,810 0 0 15 Nov., 1938 3 84 15 May „ 15 Nov. 2,810 0 0 19,220 0 0 15 Nov., 1938 4J 865 15 May „ 15 Nov. 12,220 0 0 4,000 0 0 3,000 £2,700 subject to conversion under New Zealand Debt Conversion Act. 15 Nov., 1938 .. .. .. .. .. .. Option to repay £3,283,630 maturing 15th November, 1941. 2,900 0 0 20 April,1939 4J 130 20 Apriland20 Oct. 1,900 0 0 1,000 0 0 .. £300 subject to conversion under New Zealand Debt Conversion Act. 15 Julv, 1939 .. .. .. .. .. .. Option to repay £4,613,505 maturing 15th July, 1941. 17,176,532 0 0 1 Jan., 1940 3J 601,179 1 Jan. and 1 July 4,341 8 8 17,172,190 11 4 8,900 0 0 15 Jan., 1940 3f 333 15 Jan. „ 15 July 8,900 0 0 .. .. 15 Mar., 1940 .. .. .. .. .. .. Option to repay £13,670,835 3J per cent, and £7,335 4 per cent, securities maturing 15th March, 1943. 10,000 0 0 31 Mar., 1940 2£ 250 31 Mar. and 30 Sept. 10,000 0 0 500,000 0 0 15 Sept., 1940 3| 16,250 15 Mar. „ 15 Sept. 500,000 0 0 10 0 0 15 Dec., 1940 4} .. 15 June „ 15 Deo. 10 0 0 .. .. Subject to conversion under New Zealand Debt Conversion Act. 10,300 0 0| 1 July, 1941 4J 464 1 Jan. „ 1 July .. .. 10,300 4,613,505 0 0 1 15 July, 1941* 3 138,405 15 Jail. „ 15 July 4,613,505 0 0 .. .. *Repayable at the option of the Government at par on or after 15th July, 1939, on three months' notice. 7,000 0 0 1 Aug., 1941 4£ 315 1 Feb. „ 1 Aug. .. .. 7,000 3,283,630 0 0 15 Nov., 1941f 3f 123,136 15 May „ 15 Nov. 3,283,630 0 0 .. .. f Repayable at the option of the Government at par on or after 15th November, 1938, on three months' notice. 37,000 0 0 1 Mar., 1942 4 1,480 1 Mar. „ 1 Sept. 37,000 0 0 1 Feb., 1943 .. .. .. . . .. : .. Option to repay £10,884,628 maturing 1st February, 1963. 15 Feb., 1943 .. .. .. .. .. .. Option to repay £9,842,470 maturing 15th February, 1946. Carried forward .. 25,934,072 0 0 .. .. 891,237 .. 8,736,581 8 8 17,177,190 11 4- 20,300 ,|_ \-

B.—l [PT. Ill].

PUBLIC ACCOUNTS, 1937-1938.

THE PUBLIC DEBT OF NEW ZEALAND. TABLE I.—STATEMENT OF SECURITIES CHARGED ON THE PUBLIC REVENUES OF NEW ZEALAND AND OUTSTANDING ON 31st MARCH, 1938-continued.

4

Annual Charge. Domicile of Principal. Amount Dne Date j Remarks. outstanding. o S £ o Interest. When payable. New Zealand. London. Australia. |«fl| _ £ s. d. % £ £ s. d. £ s. d. £ Brought forward .. 25,934,072 0 0 .. °. 891,237 .. 8,736,581 8 8 17,177,190 11 4 20,300 New Zealand Loans Act, 1932 —continued. Debentures and Stock —continued. 13,670,835 0 0* 15 Mar., 1943"f 3£ 478,479 15 Mar. and 15 Sept. 13,670,835 0 0 .. .. * Securities converted under New 7,335 0 0 15 Mar., 1943f 4 293 15 Mar. „ 15 Sept. 7,335 0 0 .. .. Zealand Debt Conversion Act, 1932-33, with condition of interest free of income-tax continued up to the interest date coinciding with or next following the pre-conversion maturity date, after which the rate of interest is automatically adjusted to 4 per cent., as follows: £7,916,205, 15th March, 1939; £4,024,405, 15th September, 1939 ; £347,215, 15th March, 1941; £1,383,010, 15th September, 1941 : total, £13,670,835. f Repayable at the option of the Government at par on or after 15th Mar., 1940, on three months' notice. 7,339,656 4 9 1 Mar., 1944 4J 330,284 1 Mar. „ 1 Sept. .. 7,339,656 4 9 199,500 0 0 15 Feb., 1945 5 9,975 15 Feb. „ 15 Aug. .. 199,500 0 0 7,580,907 11 10 1 Mar., 1945 4}- 341,141 1 Mar. „ 1 Sept. .. 7,580,907 11 10 9,659,980 I 1 1 April, 1945 3" 289,799 1 April „ 1. Oct. 2,500 0 0 9,657,480 1 1 2,090,909 1 9 1 Dec., 19451 4| 94,090§ 1 June „ 1 Dec. .. 2,090,909 1 9 .. J Repayable at the option of the Government on or after 1st Decern - ber, 1925, by giving three months' notice in the London Gazette. § Interest suspended in terms ofagreement with Imperial Government. 12,886,110 3 9 1 Jan., 1946 5 644,305 1 Jan. „ 1 July .. 12,886,110 3 9 9,842,470 0 0 15 Feb., 1946|| 4 393,698 15 Feb. „ 15 Aug. 9,842,470 0 0 .. .. || Repayable at the option of the Government at par on or after 15th February, 1943, on three months' notice. 1,158,743 9 0 1 April, 1946 3 34,763 1 April „ 1 Oct. 1,158,743 9 0 502,232 10 0 1 April, 1946«] 4 20,089 1 April „ 1 Oct, 502,232 10 0 .. .. If Repayable at option of the holders on 14 days' notice. 15 April, 1946 .... .. .. .. Option to repay £8,966,995 maturing 15th April, 1949. 4,203,050 0 0 15 Sep., 1947 5 210,152 15 Mar. and 15 Sept. 3,999,750 0 0 120,000 0 0 83,300 Oarrisd forward .. 95,075,801 2 2 .. .. 3,738,305 .. 37,920,447 7 8 57,051,753 14 6 103,600 I I

B.—l [PT. Ill].

PUBLIC ACCOUNTS, 193 7- 193 8.

THE PUBLIC DEBT OF NEW ZEALAND. TABLE I.—STATEMENT OF SECURITIES CHARGED ON THE PUBLIC REVENUES OF NEW ZEALAND AND OUTSTANDING ON 31st MARCH, 1938—continued.

5

Annual Charge. Domicile of Principal. — Due Date. I Remarks. outstanding. ® SB Interest. When payable. New Zealand. London. Australia. 5s [ I " j £ s. d. % £ £ s. d. £ s. d. £ Brought forward .. 95,075,801 2 2 .. .. 3,738,305 .. 37,920,447 7 8 57,051,753 14 6 ; 103,600 New Zealand Loans Act, 1932 —continued. Debentures and Stock —continued. 11,221,608 16 5 1 Nov., 1947 4i 504,972 1 May and 1 Nov. .. 11,221,608 16 5 1 Mar., 1948 . . .. .. .. .. .. Option to repay £19,225,465 maturing 1st March, 1958. 10,500 0 0 1 Jan., 1949 4 420 1 Jan. and 1 July 10,500 0 0 1 Feb., 1949 .... .. .. .. . Option to repay £5,000,000 maturing 1st February, 1954. 8,966,995 0 0 15 April, 1949* 4 358,680 15 April and 15 Oct. 8,966,995 0 0 .. .. * Repayable at the option of the Government at par on or after 15th April, 1946, on three months' notice. 15 May, 1949 .... .. .. .. Option to repay £12,487,000 3|- per | cent, and £2,935 4 per cent, securities maturing 15th May, 1952. 7,500,000 0 0 15 Dec., 1949 5 375,000 15 June and 15 Dec. .. 7,500,000 0 0 250,000 0 0 15 Dec., 1950 3J 8,750 15 June „ 15 Dec, 250,000 0 0 2,029,000 0 0 1 Feb. 1951 5J 111,595 1 Feb. „ 1 Aug. .. 1,250,000 0 0 779,000 12,487,000 0 Of 15 May, 1952J 3£ 437,045 16 May ,, 15 Nov. 12,487,000 0 0 .. .. f Securities converted under New 2,935 0 0 1 5 May, 1952 J 4 117 15 May „ 15 Nov. 2,935 0 0 .. .. Zealand Debt Conversion Act, 1932-33, with condition of interest free of income-tax continued up to the interest date coinciding with or next following the pre-conversion maturity date, after which the rate of interest is automatically adjusted to 4 per cent., as follows : £9,410,825, 15th November, 1938 ; £2,300,050, 15th May, 1939 ; £23,225, 15th May, 1941; £752,900, 15th November, 1941 : total, £12,487,000. J Repayable at the option of the Government at par on or after 15th May, 1949, on three months' notice. 15 June, 1952 .. j .. . . .. Option to repay £9,405,260 maturing 15tli June, 1955. 1 July, 1952 ... . . . . Option to repay £12,000,000 maturing 1st July, 1955. Carried forward .. 137,543,839 18 7 .. .. 5,534,884 .. 59,637,877 7 8 77,023,362 10 11 882,600 | . ! ,

B.—l [Pt. lIIJ.

PUBLIC ACCOUNTS, 1937 - 1 9 38.

THE PUBLIC DEBT OF NEW ZEALAND. TABLE I.—STATEMENT OF SECURITIES CHARGED ON THE PUBLIC REVENUES OF NEW ZEALAND AND OUTSTANDING ON 31st MARCH, 1938—continued.

6

Annual Charge. Domicile of Principal. Due Date. <g-g ! I ! Remarks. outstanding. ° $ , £ ® | Interest. When payable. j New Zealand. London. | Australia. 05 "rt £ s. d. % £ £ s. d. £ s. d. £ Brought forward .. 137,543,839 18 7 .. .. 5,534,884 .. 59,637,877 7 8 77,023,362 10 11 882,600 New Zealand Loans Act, 1932 —continued. Debentures and Stock —continued. .. 15 Jan., 1953 .... .. .. .. . . Option to repay £8,346,909 12s. 4d. maturing 15th January, 1957. 5,000,000 0 0 1 Feb., 1954* 3J 175,000 1 Feb. and 1 Aug. .. 5,000,000 0 0 .. * Repayable at the option of the Government at par on or after 1st February, 1949, on three months' notice. 9,405,260 0 0 15 June, 1955f 4 376,210 15 June „ 15 Dec. 9,405,260 0 0 .. .. f Repayable at the option of the Government at par on or after 15th June, 1952, on three months' notice. 12,000,000 0 0 1 July, 1955 J 3 360,000 1 Jan. „ 1 July .. 12,000,000 0 0 .. {Repayable at the option of the Government at par on or after 1st July, 1952, on three months' notice. 15 Oct., 1955 .. .. .. .. .. .. Option to repay £3,989,100 maturing 15th October, 1960, 362,450 0 0 1 Jan., 1956 3 10,873 1 Jan. and 1 July 362,450 0 0 3,206 0 0 1 Jan., 1956 3J 112 1 Jan. „ 1 July 3,206 0 0 100,000 0 0 1 Jan., 1956 4 4,000 1 Jan. „ 1 July 100,000 0 0 1 Nov., 1956 .. .. .. .. Option to repay £5,000,000 maturing 1st November, 1971. 8,346,909 12 4 15 Jan., 1957a 3J 292,141 15 Jan. and 15 July 8,346,909 12 4 .. .. a Repayable at the option of the Government at par on or after 15th January, 1953, on three months' notice. 1,417,000 0 0 15 Jan., 1957 2J 35,425 15 Jan. „ 15 Julv 1,417,000 0 0 46,900 0 0 15 Jan., 1957 3 1,407 15 Jan. „ 15 July 34,000 0 0 12,900 0 0 1,178,080 0 0 15 Jan., 1957 3| 41,233 15 Jan. „ 15 July 1,178,080 0 0 287,385 0 0 1 Feb., 1957 3 8,622 X Feb. „ 1 Aug. 287,385 0 0 1,417,000 0 0 15 May, 1957 2J 35,425 15 May „ 15 Nov. 1,417,000 0 0 6,011,699 8 6 15 May, 1957 3 180,351 15 May „ 15 Nov. 6,011,699 8 6 1,634,936 0 0 15 May 1957 3J 57,222 15 May „ 15 Nov. 1,634,936 0 0 1,417,000 0 0 15 Aug., 1957 2J 35,425 15 Feb. „ 15 Aug. 1,417,000 0 0 7,882,030 0 0 15 Aug., 1957 3 236,461 15 Feb. „ 15 Aug. 7,882,030 0 0 1,487,720 0 0 15 Aug., 1957 4 59.509 15 Feb. „ 15 Aug. 1,487,720 0 0 1,417,000 0 0 15 Feb., 1958 2J 35,425 15 Feb. „ 15 Aug. 1,417,000 0 0 2,189,835 3 8 15 Feb., 1958 3| 76,644 15 Feb. „ 15 Aug. 2,189,835 3 8 19,225,465 0 0 1 Mar., 1958§ 4| 865,146 1 Mar. „ 1 Sept. .. 19,225,465 0 0 .. § Repayable at the option of the Government at par on or after 1st March, 1948. on three months' — notice. Carried forward .. 218,373,716 3 1 .. .. 8,421,515 .. 104,229,388 12 2 113,261,727 10 11 882,600

B.—l [Pi. Ill].

PUBLIC ACCOUNTS, 1937-1938.

THE PUBLIC DEBT OF NEW ZEALAND. TABLE I.—STATEMENT OF SECURITIES CHARGED ON THE PUBLIC REVENUES OF NEW ZEALAND AND OUTSTANDING ON 31st MARCH, 1938—continued.

7

• : : 1 Annual Charge. Domicile of Principal. Amount i 1 5 outstanding. Due Date - o <g Remarks. -2 & Interest. When payable. New Zealand. London. Australia. Ss | — — ; * ! T , j & s. d. % £ £ s. d. £ s. d. £ Brought forward .. 218,373,716 3 1 .. .. 8,421,515 .. 104,229,388 12 2 113,261,727 10 11 882,600 New Zealand Loans Act, 1932 —continued. Debentures and Stock —continued. 1,417,000 0 0 15 June, 1958 2J 35,425 15 June and 15 Dec. 1,417,000 0 0 1,521,250 0 0 15 June, 1958 3| 53,243 15 June „ 15 Dec. 1,521,250 0 0 " !. 1,417,000 0 0 15 Sept., 1958 2J 35,425 15 Mar. „ 15 Sept. 1,417,000 0 0 1,261,400 0 0 15 Sept.,1958 3J 44,149 15 Mar. „ 15 Sept. 1,261,400 0 0 2,842,000 0 0 15 Dec., 1958 2J 71,050 15 June „ 15 Dec. 2,842,000 0 0 2,754,240 15 7 15 Dec., 1958 3 82,627 15 June „ 15 Dec. 2,754,240 15 7 2,677,533 10 2 15 Mar., 1959 3 80,326 15 Mar. „ 15 Sept. 2,677,533 10 2 • V, ■ 1,572,260 0 0 15 Mar., 1959 3J 55,029 15 Mar. „ 15 Sept. 1,572,260 0 0 - 29,800 0 0 15 Mar., 1959 4 1,192 15 Mar. „ 15 Sept. 29,800 0 0 3,440,679 0 0 15 July, 1959 3 103,220 15 Jan. „ 15 July 3,440,679 0 0 . , 380.000 0 0 15 July, 1959 3f 14,250 15 Jan. „ 15 July 380,000 0 0 1,720,000 0 0 15 Oct., 1959 3 51,600 15 April „ 15 Oct. 1,720,000 0 0 4,245,535 0 0 15 Not., 1959 3 127,366 15 May ,, 15 Nov. 4,245,535 0 0 3,989,100 0 0 .15 Oct., I960* 3£ 139,619 15 April ,, 15 Oct. .. 3,989,100 0 0 .. * Repayable at the option of the Go- ' ' i vernment at par on or after 15th October, 1955, on three months' notice. 10,884,628 0 0 1 Feb., 1963 "f 4 435,385 1 Feb. ,, 1 Aug. 378,638 14 4 10,505,989 5 8 .. "J* Repayable at the option of the Government at par on or after 1st j February, 1943, on three months' notice. 5,000,000 0 0 1 Nov., 197 11 5 250,000 1 May „ 1 Nov. .. 5,000,000 0 0 .. J Repayable at the option of the Go- , , „ . , , _, , ~ 77 "T 7 vernment at par in whole or in Total Debentures and Stock 263,526,142 8 10 .. .. 10,001,421 .. 129,886,725 12 3 132,756,816 16 7 882,600 part on or after 1st November, 1956, on three months' notice. Funding Agreement with Imperial 577,446 11 5§ 1 June, 19461 .. 28,363** 1 June and 1 Dec. 577,446 11 5 .. § Balance of £27,532,164, Imperial Government. Government advances, funded in 23,522,752 19 2§ 1 Dec., 1957*1 .. 1,164,867** 1 June ,, 1 Dec. .. 23,522,752 19 2 .. terms of section 8, Finance Act, m i i m ,, " 1922. Details of original loan as Total Funded Debt .. 24,100,199 10 7|| .. .. 1,193,230 .. .. 24,100,199 10 7 .. funded shown in B.-l [Pt. II], •' ' —" j 1921-22. || Details on page 10. If Approximately. ** Payments suspended in terms of m __ „ agreement with Imperial GovernTreasury bills .. .. 75,000 0 0 1st May, 1938 2J 1,875 1 May and 1 Nov. 75,000 0 0 .. .. ufent. 2,500,000 0 0 Various .. 1£ 31,250 Various .. .. 2,500,000 0 0 Carried forward .. 290,201,341 19 5 .. .. 11,227,776 .. 132,461,725 12 3 156,857,016 7 2 882,600 ______ . I

B.—l [Pr. lII].

PUBLIC ACCOUNTS, 1937-1 9 3 8.

THE PUBLIC DEBT OF NEW ZEALAND. TABLE I.—STATEMENT OF SECURITIES CHARGED ON THE PUBLIC REVENUES OF NEW ZEALAND AND OUTSTANDING ON 31st MARCH, 1938-continued.

separate m ™™T P. r °7 ided hereby the whole of the public debt other than that raised for State Advances purposes and those portions for which separate sinking funds exist will be extmguished in approximately sixty years from the time of coming under the provisions of the Act. The total of loans comine within the nrovisions of the of the Public Debt Act> 1925 is £216,856,476 12s. The Public Debt Redemption Fund Capital Account established under this Act comprises investments section 8 (*,>£3,258 955 18b. id., BJb) £2,000,000, and 8 (c) £7,966,688 lis. 2d.: total, £13,225,644 10s. 6d. Subsections (a) and (b) were repealed by LtionTo" the investments under these subsections are now in State Advances Corporation Stock and Contingent Liability. In respect of (b) the amount is subject to realization. The interest on the Redemption Fund capital is paid over to the Consolidated Fund as a set-off against the annual payments made by the latter fund to the Repayment of the Public Debt Account— viz A per cent, of the public debt coming under the provisions of the Act, together with 4 per cent, of the debt redeemed in accordance with the Act. 2 A,.™,! aS wi eXI , 8t f° r the extino son5 on of Portions of the debt to which the provisions of the Repayment of the Public Debt Act, 1925, do not apply State Coal-mines wMchappear on pages 12 and! 3 ' £U ' 679 15s " ld " ; West P ort Harbour Account, £343,458 6s. 6d.; Samoan Loan Suspense Account, £4 lis. 9d.: total, £364,668 3s. 4d„ particulars of t0 the spe ®'f I sinking funds mentioned above, special provision exists for the repayment of that portion of the debt funded by agreement with the Imperial Government Particulars hich are given on page 10. It is estimated that this portion of the debt would under the original agreement be extinguished during the financial year ending on the 31st March 1958 ' Pavments have been suspended by arrangement with the Imperial Government. " alsl lyos " Payments

TABLE II.—ADVANCES BY THE RESERVE BANK TO THE GOVERNMENT BY WAY OF OVERDRAFT OUTSTANDING ON 31st MARCH, 1938.

8

Annual Charge. j Domicile of Principal. _ Amount ., ... - * " I i ■* > <i— r— | |—! I outstanding. Due Date - Remarks. 2 _g j Interest. When payable. ! New Zealand. ' London. Australia I PiS [ I £ s. d. % £ £ S d. £ S d £ Brought forward .. 290,201,341 19 5 .. .. 11,227,776 .. 132,461,725 12 3 156,857,016 7 2 882,600 Amortization Charges. £ 1,782,014* Repayment of the .. .. .. * Estimated. Public Debt Act, 1925 458,700t Funded Debt .. .. .. _ -j- Represents principal repayment also suspended by agreement i, . d. , ~ , . with Imperial Government. 11,6 J t^ e 1 Coal-mines ., .. j Payable from the State Coal-mines w' S !? ! r 4 Un u Account. Estimated. 10,859§ Westport Harbour .. .. .. § £3,859 sinking fund, 4| per cent. 9 Oftrt 97 n oinkmg 1< und payable in respect of sinking funds ' used for redemption; and £7,000 T °the PuW?c liven nfs d a,°d 29 °- 2(>1 ' ;i41 19 5 •• 13,491,046 .. 132,461,725 12 3 156,857,016 7 2 Ustport'Sour outstanding at 31sfcMarch, Loans. 1938 :

Authority for Advances. Particulars of Advances. Account. J A^^rant p r °j UC t S i^ 36 ' ® e ® ti f n 1 . 1 0 ( l '• . | Advances in respect of dairy-produce purchased for export and sale Dairy Industry Account ' .. . 5 144 549 9 TO Primary Products Marketing Amendment Act, 1937, Section 9 Advances m respect of primary products purchased for sale .. Internal Marketing Account .. .. ' 7 7 Total advances as at 31st March, 1933 .. .. .. £5,200,848 17 5

TABLE III.—LOANS GUARANTEED BY THE GOVERNMENT. Contingent Liability outstanding on 31st March, 1938.

B.—l [Pt. lII].

PUBLIC ACCOUNTS, 1937-193 8.

9

amount Rate. accumulated Loans guaranteed. Authority fob Government Guarantee. i outstanding Due Datk - Sinking Remarks. | ' Int. S.F. FCND - LOANS OF LOCAL AUTHORITIES. £ £ % % £ s. d. Auckland City Council (Grey Lynn Borough ; Local Bodies' Loans Amendment Act, 1908 .. \ 45,000 ft r ' 24,707 3 4 Loan) j Aug., 1941 Under gubgec _ (6) Qf sec _ 10 oi Christchurch City Council .. .. Local Bodies' Loans Amendment Act, 1908 .. .. 9,500 3 Dec., 1942 1J 7,899 13 5 Local Bodies' Loans AmendCambridge Borough Council .. .. Local Bodies' Loans Amendment Act, 1908 .. .. 5,000 30 April, 1942 4A 1 2,760 6 10 i ment Act, 1908, ono-half of Levin Borough Council .. .. .. Local Bodies' Loans Amendment Act, 1908 .. .. 18,000 19 June, 1942 4| 1J 14,468 5 6 | the sinking fund is payable by Port Chalmers Borough Council .. .. Local Bodies' Loans Amendment Act, 1908 .. .. 3,500 1 July, 1942 4 J 1 1,966 2 9 i the Treasury. Taihape Borough Council .. .. Local Bodies' Loans Amendment Act, 1908 .. .. 25,000 1 Aug., 1942 4£ 1 13,388 15 11 I Auckland City Council (Electric-power Ex- Local Bodies' Loans Act, 1913, Part IV .. .. 500,000 16 Mar., 1942 6J 2| 319,920 12 10 tension Loan) Havelock North Town Board .. .. Local Bodies' Loans Act, 1913, Part IV .. j 21,075 | July' 1948 lj ' 2 4 Te Puke Town Board .. .. .. Local Bodies' Loans Act, 1913, Part IV .. .. 11,000 1 Jan., 1948 4f 1J 6,394 17 10 .. Wanganui Hospital Board .. Local Bodies' Loans Act, 1913, Part IV, and .. 1,500 1 April, 1943 6J 2$ 891 16 7 Hospitals and Charitable Institutions Amendment Act, 1920 (No. 2) Oamaru Harbour Board .. .. Finance Act, 1937, sec. 42 .. .. .. .. 108,790 1 April, 1952 4 Nil .. I Repayable by half-yearly instalI ments. Total Local Authorities Loans .. 748,365 OTHER LOANS. j 1 Land Settlement Finance Debentures .. Land Settlement Finance Act, 1909, sec. 13 .. .. 4,400 12 Oct., 1938 5 Total other Loans .. .. .. 4,400 STATE ADVANCES CORPORATION STOCK AND DEBENTURES. Special Series .. .. .. .. State Advances Corporation Act, 1936, sec. 25 .. 7,840,750 1 Aug., 1960 3f .. ......... „ .. 6,500,000 1 Aug., 1963 3| ........ „ .. 6,500,000 1 Aug., 1966 3f .. | .. ...... „ .. 6,500,000 1 Aug., 1969 3f .. ........ „ .. 6,500,000 1 Aug., 1972 3f ........ „ .. 6,500,000 1 Aug., 1975 3f .. ........ „ .. 500,000 30 June, 1938 1| Series "A ..... „ .. 482,300 1 Sept. 1955-60 3f Series « » " ... „ .. 262,920 1 June, 1944 3J Total State Advances Corporation Loans 41,585, 970 ■ — I I

b.—l [Pt. ur\.

PUBLIC ACCOUNTS, 1937-1938.

TABLE IV.—Particulars of the Public Debt funded in Terms of Finance Act, 1922, Section 8.

10

I m r»«Kf Amount of Funded Annual Charge. • - ■ Amount of Debt Total Debt repaid Debt outstanding * fnnripd to at, ~ i When payable. 31st March, 1938. 31st March> 193g Interest. D^bt"' TotaL Finance Act, 1922, sec. 8 : : — ££££££ Advances from the Imperial Government funded in terms of the above Act on the basis of an annuity of 6 per cent. Interest at the rate of £4 19s. 5'88d. per cent, per annum, — Public Revenues Amendment Act, 1914, sec. 8 (War Expenses) 2,067,411 237,040 1,830,371 .. .. 124,045 1 June and 1 Dec. Public Revenues Amendment Act, 1915, sec. 5 (War Expenses) 8,105,992 929,395 7,176,597 .. .. 486,360 1 June „ 1 Dec. Finance Act, 1916, sec. 35 .. .. . . .. 4,736,842 543,104 4,193.738 .. .. 284,212 1 June „ 1 Dec. War Purposes Loan Aot, 1917 .. .. .. .. 4,830,000 553,785 4,276,215 .. .. 289,800 1 June „ 1 Dec. Finance Act, 1918, sec. 10 .. ... .. .. 6,600,000 756,725 5,843,275 .. .. 396,000 1 June „ 1 Dec. 1 Total War Loans .. .. .. .. 26,340,245 3,020,049 23,320,196 .. .. 1,580,417 Naval Defence Act, 1909 .. . . .. .. 963,131 385,684 577,447 .. .. 57,787 1 June and 1 Dec. Aid to Public Works and Land Settlement Act, 1910 .. 191,010 21,900 169,110 .. .. 11,460 1 June „ 1 Dec. Land for Settlements Act, 1908 .. .. .. .. 37,778 I 4,332 33,446 .. .. 2,266 1 June „ 1 Dec. Totals .. .. .. .. .. 27,532,164 3,431,965 24,100,199 * * 1,651,930* * Annual instalment of principal and interest £1,651,929 16s. 8d., but all instalments subsequent to 1st June, 1931, have been suspended. The amount of interest and repayment of debt varies with each instalment, and details will again be shown when payment of instalments is resumed.

B.—l [PT. Ill].

PUBLIC ACCOUNTS, 1937-1938.

TABLE V.—STATEMENT of SINKING FUNDS ACCRUED to the 31st March, 1938, in respect of various Loans.

11

PUBLIC DEBT£ s. d. £ s. d. State Coal-mines Sinking Fund, — Funds held in State Coal-mines Sinking Fund Account .. .. .. 9,525 10 0 Samoan Loan Sinking Fund, — Funds held in Deposits Account, Samoan Loan Sinking Fund Account.. .. 4 11 9 Electric Supply Sinking Fund,— Funds held in Electric Supply Sinking Fund Account — South Island Scheme .. .. .. .. .. .. .. 11,679 15 1 Westport Harbour Loans Sinking Fund, — Funds held by the Public Trustee .. ., .. .. .. 343,458 6 6 £364,668 3 4

B.—l [PT. Ill]

PUBLIC ACCOUNTS, 1937-1938

TABLE VI.—STATEMENT of the RECEIPTS and DISBURSEMENTS of the SINKING

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RECEIPTS. £ s. d. j £ | ADVANCES OFFICE SINKING FUND Accumulation held on 31st March, 1937 — Contingent liability of the State Advances Corporation in terms of section 38 (2) of the State Advances Corporation Act, 1934-35 .. .. : 2,263,608 3 5 2,263,608 3 5 STATE COAL-MINES SINKING FUND Accumulation held on 31st March, 1937, — In State Coal-mines Sinking Fund Account .. .. .. .. .. 9,181121 Transfer from State Coal-mines Account, Finance Act, 1928, section 22, — Subsection (1) —2 per cent, of amount of Loans raised to 31st March, 1938, less amount redeemed otherwise than from the Sinking Fund .. 4,122 0 5 Subsection (3) —4 per cent, of amount redeemed from Sinking Fund to 31st March, 1937 .. .. .. .. .. .. 5,107 2 2 Subsection (3) —4 per cent, of amount redeemed from Sinking Fund during the current year from the date of redemption .. .. .. 294 15 4 9,523 17 11 18,705 10 0 SAMOAN LOAN SINKING FUND Accumulation held on 31st March, 1937, — In Deposits Account, Samoan Loan Sinking Fund Account .. .. 0 14 1 Contribution by Samoan Treasury .. .. .. .. .. .. 4,248 17 8 4,249 11 9 ELECTRIC SUPPLY SINKING FUND Accumulation held on 31st March, 1937, — In Electric Supply Sinking Fund Account— South Island Scheme .. .. .. .. .. .. .. 13,429 15 1 WESTPORT HARBOUR LOANS SINKING FUND Finance Act, 1928, section 13,- — Accumulated funds as at 31st March, 1937 .. .. .. .. .. 320,635 14 6 Subsection (4) (a) —Contribution for the financial year 1937-38 .. .. 7,000 0 0 Subsection 4 (d) —Contribution at the rate of 41 per cent, per annum in respect of Sinking Funds used to 31st March, 1937, to redeem debentures .. .. .. .. .. .. .. .. 3,858150 Interest on Investments .. .. .. .. .. .. .. 11,989 3 6 343,483 13 0 GREYMOUTH HARBOUR BOARD SINKING FUND Grey mouth Harbour Board Amendment Act, 1935, section 4, — Accumulated funds as at 31st March, 1937 .. .. .. .. .. 109,104 4 2 Interest.. .. .. .. .. .. .. .. .. 2,709 13 3 111,813 17 5

B.—l fPT. Ill]

PUBLIC ACCOUNTS, 1937-1938

FUNDS during the FINANCIAL YEAR ended 31st March, 1938.

G. C. Rodda, Secretary to the Treasury. B. C. Ashwin, Accountant to the Treasury. The Treasury, Wellington, 15th July, 1938. Examined and found correct. J. H. Fowler, Controller and Auditor-General. Audit Office, 18th July, 1938.

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DISBURSEMENTS. £ s. d. ADVANCES OFFICE SINKING FUND Abolition of Sinking Fund consequent upon transfer of assets to the State Advances Corporation in terms of the State Advances Corporation Act, 1934-35, section 36 .. .. 2,263,608 3 5 2,263,608 3 5 STATE COAL-MINES SINKING FUND Securities redeemed in terms of section 22 (2) of the Finance Act, 1928 .. .. .. 9,180 0 0 Accumulation held on 31st March, 1938, — In State Coal-mines Sinking Fund Account .. .. .. .. .. .. 9,525 10 0 18,705 10 0 SAMOAN LOAN SINKING FUND Loans redeemed in terms of section 4 of the Finance Act, 1932 (No. 2) .. .. .. 4,245 0 0 Accumulation held in Deposits Account, Samoan Loan Sinking Fund Account, on 31st March, ! 1938 .. .. .. .. .. .. .. .. .. .. 4 11 9 4,249 11 9 ELECTRIC SUPPLY SINKING FUND Securities redeemed in terms of section 23 (1) of the Finance Act, 1928 .. .. .. 1,750 0 0 Accumulation held in Electric Supply Sinking Fund Account on 31st March, 1938, — South Island Scheme .. .. .. .. .. .. .. ..I 11,679 15 1 13,429 15 1 WESTPORT HARBOUR LOANS SINKING FUND Finance Act, 1928, section 13, —- Annual fee for administering fund .. .. .. .. .. .. .. 25 0 0 Administration expenses, &c. .. .. .. .. .. .. .. , 0 6 6 Accumulation held by the Public Trustee on 31st March, 1938 .. . . .. 343,458 6 6 j 343,483 13 0 GREYMOUTH HARBOUR BOARD SINKING FUND Securities redeemed .. .. .. .. .. .. .. .. 111,813 17 5 111,813 17 5

B.—l [PT. 11l

PUBLIC ACCOUNTS, 1937 - 1 9 38.

TABLE VII.—TRANSACTIONS IN CONNECTION WITH THE PUBLIC DEBT IN THE YEAR ENDED 31st MARCH, 1938.

Details of above. External debt— £ s. d. 1. London (see note at end of table regarding Rural Advances bonds) .. .. Increase .. 120,000 0 0 . 2. Australia — £ s. d. -7-; 1 Decreases: Redemptions .. .. .. .. .. .. 92,600 0 0 Increase: Rural Advances bonds (see note at end of table) .. .. 83,300 0 0 ... Net decrease 9,300 0 0 Internal debt— —: 3. Long-term debt — Increases— New issues for capital works— £ s. d., £ s. d. Public Works Fund : General Purposes Account.. 3,899,726 3 1 Main Highways Account .. .. .. 1,676,800 0 0 State Forests Account .. .. .. 200,000 0 0 5,776,526 3 I New issues for redemptions .. .. .. .. .. 40,000 0 0 New issues for premiums on conversion .. .. .. .. 185 0 0 New issues for conversion of Treasury bills .. .. .. 1,425,000 0 0 Rural Advances bonds (see note at end of table) .. .. .. 4,009,750 0 0 11,251,461 3 1 Decreases — Redemptions from— Public Debt Repayment Account .. .. .. .. 1,621,211 3 1 Sinking Funds — Greymouth Harbour Board Debt .. ... .... .. 111,813 17 5 Electric supply .. . . .. .. .. .. 1,750 0 0 State coal-mines .. .. . . .. .. .. 9,180 0 0 Samoan loans .. .. .. .. .. .. 4,245 0 0 Nauru and Ocean Islands .. .. .. .. .. 39,675 0 0 Consolidated Fund .. .. .. .. .. .. 205 0 0 Loans Redemption Account .. .. .. .. .. 7,292,938 15 0 9,081,018 15 6 Net increase .. .. 2,170,442 7 7 Notes. —(1) For details of redemptions from Public Debt Ilepayment Account, see parliamentary paper 8.-2. (2) Money for new issues was borrowed at the following rates : 2£ per cent., £10,000 ; 3 per cent., £5,287,241 3s. Id.; 3per cent., £470,285 : total, £5,776,526 3s. Id. (3) Former shareholders of Reserve Bank and State Advances Corporation who now hold 4 per cent, stock have the option of requiring redemption of such stock on giving fourteen days' notice —£40,000 was borrowed during the year at 3 per cent, to meet such redemptions, which totalled £36,813 155., leaving £3,186 ss. unused at 31st March, 1938. (4) Included in the item Loans Redemption Account, £7,292,938 15s. is a redemption of £7,250,000. Cash for this was acquired from the sn le of State Advances Corporation stock received in exchange for State Advances Office mortgages taken over by the State Advances Corporation £3,250,000, and similar stock held by the Public Debt Redemption Fund £4,000,000. 4. Floating debt Increases — £ s. d. £ s. d. New issues for housing at I;[ per cent. .. . . . . . . 1,600,000 0 0 New issues for capital works at 2A per cent. .. .. .. 75,000 0 0 —— 1,675,000 0 0 Decrease — Bills issued 1936-37 converted into long-term securities .. .. .. .. 1,425,000 0 0 Net increase .. £250,000 0 0 5. Deed of hypothecation— Paid off .. .. .. .. .. .. .. Decrease .. 2,700,000 0 0 Note.—Cash for paying off the deed of hypothecation was acquired from the sale of State Advances Corporation stock held by Discharged Soldiers Settlement Account in respect of mortgages taken over from that Account by the State Advances Corporation. 6. Rural Advances bonds — £ s. d. Incorporated in Debt chargable on the Public Revenues .. .. Decrease .. 4,213,050 0 0 Note.— 111 terms of the Rural Advances Act, 1926, Rural Advances bonds were secured on the Rural Advances Branch of the State Advances Office, and interest was payable out of the Consolidated Fund and recoverable from that branch. The State Advances Corporation absorbed the Rural Advances Branch of the State Advances Office, and the mortgages on which the bonds were secured were thus merged in the general assets of the Corporation. In terms of section 7of the Finance Act, 1937, the bonds are now charged on the pubfic revenues in respect of both interest and principal, while the Rural Advances Act, 1926, was repealed in terms of section 10 of the same Act. In the table above, Rural Advances bonds have been incorporated in the amount of the Public Debt outstanding at 31st March, 1938, according to the domicile of the bonds —viz., London, £120,000 ; Australia, £83,300 ; New Zealand internal long teim, £4,009,750 —and to the extent of these figures the increases shown under these headings are not actual increases in the debt.

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Outstanding. ' ' ; - Increase. — Decrease. 31st March, 19S7. 31st March, 1938. External debt— £ s. d. £ s. d. £ s. d. London .. .. .. .. 156,737,016 7 2 156,857,016 7 2 + 120,000 0 0 ! Australia.. .. .. .. 891,900 0 0 882,600 0 0 — 9,300 0 0 Internal debt— Long-term debt .. .. .. 127,716,283 4 8 129,886,725 12 3 + 2,170,442 7 7 Floating debt .. .. .. 2,325,000 0 0 2,575,000 0 0 + 250,000 0 0 287,670,199 1110 -290,201,34119 5 Deed of hypothecation .. .. 2,700,000 0 0 .. — .2,700,000 0 0 Rural Advances bonds .. .. 4,213,050 0 0 .. — 4,213,050 0 0 294,583,249 11 10 290,201,341 19 5 - 4,381,907 12 5

B.—l [Pt. Ill]

PUBLIC ACCOUNTS, 1937-193 8.

TABLE VIII—STATEMENT AS AT 31st MARCH, 1938, SHOWING ANALYSIS OF THE PUBLIC DEBT UNDER THE SEVERAL PURPOSES FOR WHICH THE MONEYS HAVE BEEN RAISED. £ Railways .. .. .. .. .. .. 64,451,055 Hydro-electric Schemes .. .. .. .. .. 13,903,944 Post and Telegraph .. .. .. .. .. 14,310,551 Public Buildings, Schools, and Sites .. .. .. 14,997,782 Roads and Highways .. .. .. .. .. 31,982,220 Harbours and Lighthouses .. .. .. .. 2,104,465 State Forests .. .. .. .. .. .. 2,272,097 State Advances .. .. .. .. .. .. 40,326,514 Housing.. .. .. .. .. .. .. 2,458,945 Land Settlement and Improvement .. .. 24,757,828 Shares in Bank of New Zealand .. .. .. .. 875,000 Shares in Reserve Bank of New Zealand .. .. .. 1,626,288 Investment in State Advances Corporation .. .. .. 1,034,688 Share in Nauru and Ocean Island Phosphates .. .. 350,000 Development of Mining .. .. .. .. .. 987,219 Tourist Resorts .. .. .. .. .. ... 678,241 Immigration .. .. .. .. .. .. 3,317,488 War and Defence .. .. .. .. .. 66,343,155 Revenue Deficiencies (prior to 1893) .. .. .. 2,178,836 Old Provincial Liabilities .. .. .. .. .. 878,739 Miscellaneous .. .. .. .. 212,426 Cash and Investments in hand .. .. .. .. 153,861 £290,201,342 Gr. C. Rodda, Secretary to the Treasury. B. C. Ashwin, Accountant to the Treasury.

Apprommate Cost of Paper.—Preparation, not given; printing (606 copies), £27 10s.

Price Sd. \

By Authority: E. V. Paul, Government Printer, Wellington.—1938.

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