-T EMBARGO: Not for publicaticn or broadcast before 7.10 p. m.
Tuesday, 6th September, 1960. P. M. no. 2/ 1960
BROADCAST BY PRIME MINISTER AND ACTING
TREASURER, THE RT. HON. R. G. MENZIES, C. H.,
ON TUESDAY. 6TH SEPTEMBER. l96
Good Evening! Tomorrow, 7th September, the Commonwealth will offer
to the public three separate loans.
In one, we will be seeking to raise œ 30 million in
cash towards the Loan Council borrowing programme for this
financial year. Under this loan, there will be a choice of
three securities. Next, a new series of Special Bonds will be offered.
The rates of return on this series will be somewhat higher than
those of the earlier series and, as in them, the new Bonds will
have the attractive features that, after the first interest
date, the bonds can be cashed on one month's notice and the
amount to be obtained on encashment will increase at intervals
through the life of the bond.
Thirdly, we are offering for conversion two earlier
loans which mature on 15th September and 15th October respectively;-.
TIke-securities can be converted either into the new
securities offered in the general cash loan, or into the new
series of Special Bonds.
Perhaps I should say a word or two as to why we are
again this year seeking to raise l'rge amounts of loan money for
public works. In the last financial year, the total expenditure
on pub] ic works in Australia was œ 584 million, which was about
million greater than expenditure on uorks in the previous
year. The total must continue to grow for the simple reason
that our country is growing. Let me remind you of some facts
that show how the need for public facilities and services is
continually on the increase.
* During the current five years to the end of 1960/ 61
we will probably have added 1,100, CO0 people to our numbers.
0Within that total there will have been an increase of
some 450,0) 0 children under the age of 16 the school population
in other words. I look at the schedule of public works
and see that capital expenditure on schools and other educational
public buildings was last year œ 40 million, an increase of
just 100 per cent over the five years.
I look at another item the provision for supply of
electricity. The total spent last year was fœ 123 million. The
demand for electricity for domestic purposes, industry and
transport is growing at something like 9 per cent per year.
I see that expenditure on roads and streets was
something over œ 120 million. But then I also see that the
number of motor vehicles registered in Australia has increased
over five years by 580,0OO or 27 per cent. Small wonder that
there is a great and increasing demand for money to spend on
roads and streets. And so it is with almost every item in the
long list post office, railways, water supply and sewerage,
ports and harbours and so on.
We cannot raise all the funds we require for these
capital works by loans either here or overseas, but -e raise as
much as we can and it is entirely sound policy that we should
do so, because the benefits that will accrue to the community
will be spread over many years.
-4k 2.
On the other hand, thn loans we float offer to the
public good, sound secure and quite remunerative investment.
Equally, it helps the Government, and the community,
if people convert maturing bonds into new securities. The
more bonds converted, the less cash the Government has to find
for redemptions, and that means loss out of Revenue.
May I therefore commend these loans to you and ask
your support for them whether as cash subscribers or as
holders of the securities put before you for conversion.
Goodnight to you all.
CANBERRA,
6th September, 1960.