Page:The Czechoslovak Review, vol4, 1920.pdf/295

The creation of Czechoslovakia as an independent State necessitated far-reaching changes in the organisation of her railways. During her incorporation with Austria-Hungary the main lines were running south and north, Vienna, Budapest, and Berlin being the determining factors. Now the principal direction lies west- and eastward. The whole length of railway lines within the Republic is about 8,120 miles, the greatest part of which is owned by the State, but the Government also controls the private undertakings. This fact simplifies the reorganization of the whole system. The National Assembly has sanctioned an expenditure of 6,431,050,000 crowns for a working programme which is to extend over five years. The principal items are as follows: 963,950,000 crowns for the construction of new lines; 365,450,000 crowns for the enlargement of certain lines; 1,023,420,000 crowns for extension of railway stations; 764,900,000 crowns for the acquisition of engines, and 2,202,200,000 crowns for freight cars and trucks, etc. At present there are in use about 3,500 engines, 8,500 passenger cars and mail vans, and 70,000 freight cars and trucks. This is insufficient, especially as 30 per cent. of the engines are constantly in repair, against 16 per cent. formerly, which entails a slow circulation of the cars. To make the service effective another 1,000 engines are required, while the number of cars must be doubled. The share which Czechoslovakia is to receive from the partition of the Austro-Hungarian rolling-stock will somewhat diminish the deficiency; but as the native shops cannot turn out more than 1,000 cars per month, orders must be placed abroad. In carrying out the program the Ministry of Railways recognizes the necessity of facilitating the transport of export goods.

An order is about to be issued regulating the status of foreign banks in Czechoslovakia. Such banks will be required to give an undertaking that one-third of the jointstock capital be located within the Republic, while a certain percentage of the deposits must be used for investments in the country. The measure will affect principally the local branches of Austrian banks, but, of course, will also apply to any new foreign banking establishments. However, these restrictions are not likely to check the influx of capital from abroad, as the banks are still continuing to increase their capital, thus offering chances for investment. So has the Nederlandsche Handels-Maatschappij, a Dutch concern, lately taken up a large number of the newly-issued shares of the Industrial Bank of Bohemia, when this institution increased its capital to 150,000,000 crowns. The case of the Prague Credit Bank is another instance, a moiety of its shares being in French hands.

The following banks have recently declared their yearly dividends, the occasion being in some cases marked by a resolution to increase the capital: The Agricultural Credit Bank, dividend 8 per cent., 32 crowns per share, increase of capital from 40,000,000 crowns to 80,000,000 crowns; the Prague Agrarian Bank, dividend 6 per cent.; German Agrarian and Industrial Bank, dividend 6 per cent., against 4 per cent. last year, increase of capital from 12,000,000 crowns to 40,000,000 crowns; Banking Association of Bratislava, (Pressburg) dividend 9 per cent., increase of capital from 2,000,000 crowns to 10,000,000 crowns; Moravo-Silesian Bank, dividend 9 per cent., 36 crowns per share; Moravian Discount Bank, dividend per cent., 30 crowns per share, against 26 crowns last year, increase of capital from 20,000,000 crowns to 30,000,000 crowns. The most important announcement in this connection is that of the Živnostenská Bank—the largest in the Republic—of a dividend of 9 per cent., 18 crowns per share, on a net profit of 20,937,474 crowns and of an increase of capital from 200,000,000 to 300,000,000 crowns. The balance-sheet of this bank shows total assets of 3,431,851,721 crowns. The first Carpatho-Russian Bank has been founded at Ungvar with a capital of 5,000,000 crowns.

An Anglo-French concern has acquired all the shares in the "Helenenhof-Imperial" Hotel Co., Ltd., Carlsbad. A preliminary increase of capital to 8,000,000 crowns has been decided upon without prejudice to a further statutory augmentation.