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The demand for senior scholarships is not great. The industrial scholarships or apprenticeships still continue to be unattractive to Maori lads, who, after completing their two years as junior scholars, either are able to secure more remunerative employment or are not inclined to prolong the period of severance from their family and tribal connections. Two industrial scholarships were current during the year. It may be mentioned here that a fair number of ex-scholarship-holders find employment in branches of the Railway service. The agricultural scholarships are available for two years at some school or college where a suitable agricultural course is afforded, at a State farm, or lads may be placed upon approved farms. Five agricultural scholarships were current during the year. Nursing scholarships are available for suitably qualified girls who wish to become nurses in order to work among the Maori people. In connection with the training of Maori girls as nurses the co-operation and assistance of the Health Department are essential in the placing of the girls on the staffs of various hospitals. The girls when qualified become officers of that Department and are employed in the various centres of Maori population. Two University scholarships are available annually for Maori lads who, upon passing the Matriculation Examination, desire to take up some profession which will enable them to Work for the benefit of their race. Eight such scholarships were current during the year : three students (two medicine and one law), at Otago University; four students (three law and one engineering), at Canterbury College ; one student (law), at Auckland University College. Another Maori student who is assisted by the Native Department is studying law at Canterbury College, and two dental bursaries are held by Maoris at Otago University. Two additional University scholarships have been awarded for the current year. In last year's report a reference was made to the Maori Purposes Fund Control Board, which had been set up to administer, in the interest of Maori education and other purposes, a fund allocated from accumulated Native moneys and subsidized by the Government. During the past year the Board made (with the object of rendering financial assistance to the parents in connection with the expense in equipping the children) a substantial allowance to each of the Government-scholarship holders. The Board has now made arrangements to grant continuation scholarships to selected scholars at the expiry of the tenures of their Government scholarships. Scholarships provided from private bequests are available for competition amongst Maori boys : these are the Te yiakarini Scholarships and the Buller Scholarship. The former, established in memory of the late Sir Donald McLean, are of the annual value of £35, and are tenable for two years at Te Auto College. The fund from which the scholarships arc provided is administered by trustees, and the examination is conducted by the Department. The subjects for examination are English, arithmetic, geography, and general knowledge (New Zealand history, health, and religious knowledge). For the year 1925 two scholarships were offered for competition, one senior scholarship and one junior, the latter being reserved for candidates from Native village schools, the former being open to all eligible Maori boys. For the senior examination there were sixteen candidates —six from St. Stephen's Boys' School, nine from Te Aute College, and one from Otorohanga Public School. For the junior scholarship there were eleven candidates —three from Whakarewarewa Native School, two from Te Teko Native School, two from Wharekahika Native School, one from Whakapara Native School, and one from Rangitukia Native School. In the senior examination the best candidates were William Corbett (70 per cent.), Peta Awatere (66-8 per cent.) —both of Te Aute College—and Edward Roa, of Otorohanga District High School (62-6 per cent.). In the junior examination the best candidates were Ruhi Pene, of Whakarewarewa Native School (59-9 per cent.), and John Davis, of Whakapara Native School (59-6 per cent.). The senior scholarship was awarded to William Corbett, and the junior scholarship to Ruhi Pene. The increase in the number of candidates is satisfactory, but the trustees wish to see a much larger number of candidates for the junior scholarship. Buller Scholarship. —This scholarship was established in memory of the late Sir Walter Buller from a bequest (of the annual value of £30) made by him for the purpose. This scholarship is reserved for competition among lads who are predominantly Maori in race, and is tenable for one or two years at Te Aute College. The examination, which is conducted by the Department, is of a somewhat higher standard than the Senior Te Makarini Examination, and embraces the following subjects : English (including civics and New Zealand history), arithmetic, Maori, agriculture, and one optional subject, mathematics or woodwork. The candidates are also required to undergo an examination in religious knowledge, conducted by the Waiapu Diocesan authorities. For this examination there were nine candidates —four from Te Aute College and five from St. Stephen's School. The successful candidate was Peta Awatere, of Te Aute College, who gained 75-8 per cent, of the possible marks. Concluding Remarks. The extension of the summer vacation owing to the prevalence of the infantile-paralysis epidemic at the beginning of the year under review caused a curtailment of the usual school period, but nevertheless the schools maintained a good standard of work. The teachers as a whole deserve great credit not only for the manner in which they carry on the work of the schools, for the most part in remote and isolated localities, but also for the part they play in furthering the progress and development of the Maori race. The number of Maori children under instruction at the end of the year 1925 in all classes of schools from which figures were available was 13,067. In connection with the work of examining and inspecting the village schools, mission schools, and boarding-schools I have to acknowledge the assistance rendered by Mr. Henderson, Inspector of Native Schools. I have, &c., John Pobteous, The Director of Education. Senior Inspector of Native Schools.

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