CO129-329 - Governor Nathan - 1905 [7-12] — Page 417

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Mr Fiddes.

The Revenue, including land sales and re-

ceiptsfrom Widows' and Orphans' Pension Fund, is esti-

mated to amount to $ 7,347,395 as against $7,080,100 revised Estimate for 1905, and $6,809,847.99 in 1904 *

and the expenditure, ordinary and extracrdinary, is esti- mated at $7,056,955 against a revised estimate of $7,158,860 in 1905 and an actual expenditure of$6,376,2353

in 1904. i.e.there is an estimated surplus of rearly $300,000 (The Ordinary Revenue, including $29,000 for

Widows' and Orphans' Fund Contributions which should

I think, be included for the purpose of this comparison-

exceeds the ordinary expenditure by $1,232,240)

Probably the balance should be estimated at

a larger figure. The estimate of Revenue seems very

conservative and the expenditure is almost certainly

largely overestimated £ CG-

they have again converted the dollar at 1/8d. In view of what Sir M.Nathan says at the end

of this despatch, it is no use to discuss this latter point

further but I am inclined to think that it would have

been better to convert the dollar at a higher rate and to guard against a possible fall in exchange by esti-

mating for a large surplus.

However it is not a matter of much importance in the circumstances. Any approximation is difficult

with a varying dollar and the main thing to take care of is that any error in the Estimate should be on the side of safety as it appears to be in the present instance. If the dollar keeps near its present level(it has risen I think, since this despatch was written) the expenditure will be reduced by say $150,000 which will go some way

to