§ Mr. T. Williamsasked the Minister of Agriculture whether he can state the average interest charged by the Agricultural Mortgage Corporation for long-term mortgage loans, on agricultural land by the Lands Improvement Company for improvement loans, and by the Public Works Loans Board for long-term mortgage loans advanced under the Agricultural Credits Act, 1923?
§ Mr. W. S. MorrisonThe rate of interest charged by the Agricultural Mortgage Corporation since April, 1934, on long-term mortgage loans has been 4¼ per cent. and on improvement loans 4 per cent.
As regards improvement loans made by the Lands Improvement Company, the rate of interest charged since May, 1934, has been an amount which, after the deduction from such interest of Income Tax thereon from time to time in force, will yield to the Company a net rate of 3¼ per cent. With Income Tax at the present rate this figure of 3¼ per cent. is thus raised to £4 9s. 8d. per cent.
The long-term mortgage loans advanced under the Agricultural Credits Act, 1923, by the Public Works Loans Board were 2015W made at 5 per cent. In the case of both the Corporation and the Company certain loans are still in course of repayment which were made at other rates prior to the dates mentioned.