365

Cablegram from Loomes to Canberra

Bangkok, 1 June 1966

837. Secret Immediate

Malaysia–Indonesia talks

With British and New Zealand Ambassadors,1 I saw Razak this afternoon. Razak was jubilant at a very satisfactory outcome.

2. Agreement was reached today that there would be an exchange of notes (which will be exchanged at 6 p.m. this evening) providing

(1) that Indonesia agrees to ‘establish’ normal relations immediately and to cease all hostile acts;

(2) that Malaysia agrees to ask the people of Sabah and Sarawak to reaffirm their association with Malaysia. This is to be specifically included as an issue in the elections (which will take place, in the case of Sabah, early next year, and, in the case of Sarawak, probably a little later).

3. This exchange of notes is subject to confirmation or ratification by the two Governments. Razak could not tell how long this would take but hopes that it can be done quickly.

4. Negotiations will continue on Army level concerning modalition2 of disengagement (these were not included in the notes, as it was felt that discussion now would complicate the main issue). Razak said that he had suggested that reciprocal liaison teams, both civil and military, should be sent to Kuala Lumpur and Djakarta, and teams should be sent also to Sabah and Sarawak, particularly to the border areas. These were, he felt, particularly necessary, not so much to prevent breaches on the part of the Indonesians, but more importantly to check on Communist activity (chiefly CCO) which might be undertaken to confuse the situation. Razak added that he hoped that a Malaysian military mission would shortly visit Djakarta.

5. In answer to questions, Razak said that the Indonesians did not require that Indonesian observers should be sent to observe the elections in the Borneo Territories. There was also no question of deferring recognition until after these elections. Razak also said that the question of Singapore was not discussed.

6. Razak emphasised the need to keep the contents of the exchange of notes secret until after confirmation by Governments. This was particularly desired by Indonesia. The only public statement to be made will be a joint communique to be issued this evening which will merely state that there had been an exchange of views on practical steps which would lead to improved relations between the two countries.

7. Razak said that there had been some hard bargaining, and he had some anxious moments, especially yesterday and last night (hence the somewhat pessimistic tone of reports I received this morning). However, the differences were largely during discussions by officials, and he found in his negotiations this morning with Malik, that the latter was very reasonable. He added that Malik seemed confident that he could obtain his Government’s endorsement, pointing to the fact that the Indonesian Services were fully represented, and seemed anxious to reach an agreement, and, indeed to take some credit for it.

[NAA: A1838, 3006/4/7]

1 Sir H. Anthony Rumbold and Sir Stephen Weir.

2 Presumably, ‘mode’.