356

Cablegram to Eastman

Canberra, 14 April 1966

646. Secret

Please deliver the following message to the Tunku from the Prime Minister.1

Begins:

My Dear Tunku,

This is my first official message to you on a personal basis since I came to the Prime Ministership, and I begin it with a message of greeting and warm good wishes. I recall very happily our earlier contacts and, in particular, the very pleasant and rewarding time I spent with you in my capacity as Treasurer at the Finance Ministers’ Conference in Kuala Lumpur in 1964. I look forward to a fruitful and agreeable personal relationship on the lines which developed so cordially between you and Sir Robert Menzies.

I had the honour yesterday of proposing the toast to your new Paramount Ruler on the occasion of his assumption of office.2 This I did with much pleasure and goodwill, expressing the hope that his period of office would be marked by peaceful progress and prosperity.

In what follows I should like to canvass with you the development of the past few days between Indonesia and Singapore. I realise that Indonesia’s decision to resume relations with Singapore is a matter of profound significance for Malaysia, and it is clear from the strength of your own published statements that you see in it a renewed or strengthened threat towards Malaysia on Indonesia’s part.3

The published comment from both official and unofficial sources in Indonesia provides the material which makes your criticisms understandable. But it is because we have read more hopeful indications into this latest move that I would like to have an ampler view of your thinking on the matter. On the basis of our advices, we saw the proposal to recognise Singapore as a rather encouraging development. In terms of the internal political situation in Indonesia only a few months back, we believe there has been significant improvement and that this process of improvement proceeds and is likely to continue. We think the improvement will spread, of its own initiative, into Indonesia’s external relations. We see the development with Singapore as an early manifestation of this. After all, it was not so long ago that Indonesia was arguing that the existence of the British base in Singapore was an evil thing. Recognition of Singapore at least implies an abandonment of that line of argument. We recognise, of course, that it is possible to read into this development a blatant attempt to drive a wedge between Malaysia and Singapore. But surely, when one takes into account the determined resistance which the Army has shown to Communist penetration and its attempt to effect some economic re-construction which can only proceed effectively with the help of non-communist countries, we are entitled to place some store on our private advices that confrontation will be allowed to fade out of the picture.

It is because of our hopes in these directions that Australia and some of our other closest friends have taken the view that, for the time being, we should, as far as possible, keep on the sidelines. We believe that publicly expressed support by us for the new regime could prejudice its standing while it is still in a somewhat fragile condition. While the Generals still find it necessary to sustain Sukarno as a national figure-head and rallying point, we should not expect too much from them publicly. Perhaps we are over-optimistic in believing that there is a real chance of a stable anti-communist government emerging and establishing itself firmly. But we believe we should be doing what we can to encourage this outcome. We would hope that you will be disposed to give a not unfavourable interpretation to any actions of the new administration which could permit of a more hopeful judgement.

Ends.

[NAA: A1838, 3034/10/1 part 27]

1 Harold Holt. Sir Robert Menzies had retired on 26 January. Holt had been Treasurer 1958–1966.

2 His Majesty Sultan Ismail Nasiruddin Shah Ibni Almarhum Sultan Zainal Abidin (Sultan of Trengganu) was Malaysia’s fourth Yang Di-Pertuan Agong (see footnote 3, Document 7).

3 Indonesia’s decision to recognise Singapore had been taken at a Cabinet Presidium meeting on 9 April. On 12 April, Tunku Abdul Rahman make a statement on the proposed recognition saying he noted Singapore’s decision ‘to welcome this move, fully realising the fact that the Indonesian Government has stated that the reason behind the decision to recognise is to intensify Confrontation against Malaysia. Singapore as an independent nation may think that she can make friends with whomsoever she likes but in this instance she has to choose between Indonesia and Malaysia’.