New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1916-09-22
CANADA PAYING
ITS FULL SHARE
OF WAR COSTS
Financial independence
Comes with Success of
Loan Subscriptions.
BY s. ROY WEAVER.
Toronto, September Fl.

people of this country of their own
/ financial ability. The war has meant
much to the Dominion in many ways,
but none Of its efFcts has been more
important than the rescue of Canada
from easy and serene dependence
! upon the British money market. That
dependence is a thing of the past.
| With the exception of certain advances
from the imperial Treasury in the
early part of the war, the Dominion
/ government has been able 10 finance
its war and ordinary requirements in
| the United States and at home. Canada
/ is paying the entire maintenance cost
/ OF its army, save that the ammunition
and certain supplies for the Canadian
/ forces overseas are being provided by
| Great Britain on the understanding
that Canada will pay its share when an
accounting is possible after the war.
The provincial governments also
have been able to get along much to
/ their own surprise - without the
| further help of the British investor
/ Municipalities have found in New Yorl:
/ ample money required for necessary
/ capital expenditures. Since the British
market has been closed to colonial is
sues, private corporations have had to
/ look elsewhere. Not more than three
or four industrial fotations and those
for concerns of special Importance in
the production of munitions have
been made in Britain.
Sir Thomas Whites Credit.
Before the war Canada was borrow
ing from the mother country at the
rate OF about a million dollars a day.
During the last two years the Domin-
ION has been forced to a financial re-
sourcefulness which cannot fail to be
} Of permanent benefit. Much of the
credit for the remarkable success with
which Canada has grappled with the
problems of finance arising from the
war is properly given TO Sir Thomas
White, Minister Of Finance. He is
probably the ablest business man in
the Cabinet, and has the distinct ad-
vantage Of having learned finance be-
fore he learned politics.
Less than a year ago, when the first
Canadian domestic war loan was mar
keted, subscriptions amounted TO
double the s5O.OOO,oOO asked. Accord
ingly the loan was doubled and the
surplus S5O,OOO,OOO put to the credit
. Of the imperial government for NUM-
tions purchases in Canada. Now a
second domestic loan of 100000. OOO
has been placed on the market, with
every prospect that it will be fully
subscribed when the lists close or
next Saturday.
New Loan Well Timed.
The issue is we'll timed and the re.
Spouse will be influenced largely by
the careful preparation OF the market,
which has been going on quietly for
some months A thrift campaign has
helped no doubt to swell SAVINGS bank
deposits. The country is prosperous
Canadians were warned months ago 90
reserve their available funds for the
domestic isues, and investment in for
eign securities even the war bonds Of
the Entente Allies-has been discour.
aged consistently, although the govern
ment did not exercise its right to pro-
hibit investment By Canadians in such
issues.
1t has been felt that all the financial
resources of this country may be need
ed at home before the war is over and
that in the interests of the Dominion
and its effective part in the contest
Canadian investors should hold aloof
from all Entente loans offered in the
United States, where an abundance of
money has been forthcoming. The
hope of the Minister of Finance in this
respect has been complied with patri-
otically, and in only a few isolated
cases have Canadian brokers solicited
subscriptions to the Anglo-French,
Russian or Italian war loans under
written across the border. Thus the
Canadian investment demand has been
husbanded and larger subscriptions Sc
cured for the domestic war issues than
would have been possible otherwise.
Prosperity of Canada Shown.
The splendid response in the case OF
the first Canadian loan and the equally
splendid subscriptions TO the loan now
being marketed should convince any
skeptically inclined as TO the prosper
Gus condition of the Dominion.
The appeal of the new domestic way
loan of SlO0,OO0.O0O is not merely or
predominantly patriotic The issue
bears interest at percent per annum,
and the subscription price is 97ia. No
commission is TO be paid by sub
scribers A full half years interest
will be paid on April /, 1917. The
bonds mature on October /, 1881, and
are payable, principal and interest, in
gold. Ten per cent of the purchase
price is payable on application, 80 per
cent on October lG, 80 per cent on
November 16 and 27l. per cent on De-
cember 10. The yield is over 53s per
cent per annum, which compares with
the per cent paid on savings deposits
The bonds are attractive as an invest