A MILLION LOAN.

Gisborne Times, 1 October 1909, Page 5

A MILLION LOAN.

STATEMENT BY SIR JOSEPH WARD. [Ter Press Association.! AUCKLAND, Sept. 30. “In London,” s said tho Premier, in the course of an interview, “I obtained a million of money and had it sent out to New Zealand. Five hundred thousand pounds of this amount is for the Advances to Settlers Department, and £500,000 for public works. This money was obtained without the assistance of the Government’s hank in London, and I am very glad to he able to say that our financial position there stands as strong as ever. “I also laid the basis for obtaining in London all the moneys required bylocal public bodies in New Zealand at the rate of about 3£ per cent. These sums, however, will only bo obtainable in sunig of £IOO,OOO and over, and for that reason legislation of a special nature will be required. Such legislation will be covered in the proposals which I intend to submit to Parliament during the coming session. “It will enable the grouping of local public bodies’ requirements, so as to havo loans for each included in one big sum, which can be floated on the London market at the rate I have mentioned.

“When this is made possible by legislation, we will have no difficulty in obtaining all the money we may require at a lovr rate of interest in the Old Country. “If existing legislation had permitted the grouping into amounts of £IOO.OOO or more, I could have obtained while in London another £500,000 or a million and sent it out at once. “As soon a§ Parliament meets, arrangements will be made to get the necessary legislation through. “I want to make it clear, however, that public bodies will not bo encouraged to go in for wholesale borrowing. Where mofley is obtained, it must be for legitimate purposes. It will be necessary that this be thoroughly understood, 'if my proposals are to he satisfactorily arranged and the work carried out from year to year as circumstances require.