For Western

“Miserable Future"

Samoa, Unless ...

From R. F. Rankin Presenting his Budget for 1967 early in November, Western Samoa’s Minister of Finance, Mr. G. F. D.

Betham, foresaw a miserable future for the country unless a lot more development capital could be found and some new major industries established.

THE gap between population growth and national income was widening to such an extent that unless additional capital investment funds could be found quickly and at least another two major industries established, the country, he said, would be fighting a losing battle in its efforts to improve the standard of living.

He pointed out that since 1962 export income had fallen from £24 to £l6 per head, and that the population was expected to double in the next 20 years.

Difficulties

An indication of the difficulties facing the country was Mr. Betham’s admission that the original depart mental estimates for next year’s expenditure would have required more than three times the available reserves.

He said that only by cutting ex penditure to essential items would he be able to maintain public services at present levels and also continue the development programme through 1967.

Expenditure for 1967 will amount to £2,737,510, made up of £2,516,510 for maintenance and capital ex penditure, and £221,000 for develop ment. Receipts of £2,705,355 will leave a deficit of £32,000, with £200,000 still in reserves.

Largely because of the hurricane, export earnings this year are expected to be down some half million pounds.

Total exports to the end of Sep tember were £1,081,691 giving an un favourable trade balance of £861,880.

Despite this, the foreign exchange position showed a favourable balance of £255,612, mainly as a result of personal remittances from New Zealand.

Mr. Betham noted a number of significant achievements during 1966.

Furthermore, a considerable im provement in exports of bananas, cocoa, copra and small crop produce was predicted for next year.