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History-Chapter 8: How Did SG Become An Independent Nation? (Secondary 2)

Why did the PAP government pursue the merger with Malaya?

1. Political Independence

  • British would only grant Singapore independence if it merged with Malaya, so a merger was deemed necessary for Singapore to achieve political independence.

  • During the Cold War, Britain feared that Southeast Asia would fall under communist control

  • To safeguard Singapore and the Borneo territories from the spread of communism, the British wanted to provide greater political stability by forming a new federation comprising Malaya, Singapore, Brunei, Sarawak and North Borneo.

2. Economic Survival

  • Another reason the PAP wanted to pursue a merger was the belief that Singapore could not survive economically in the long term without a merger.

  • Singapore did not appear to have a promising economic future if left on its own.

  • It lacked natural resources and had a rapidly growing population in need of jobs.

  • Also facing a decline in entrepot trade as its neighbours became independent and wanted to direct their exports through their own ports, reducing Singapore’s importance as a regional trading port.

  • The Malayan government introduced tariffs in the 1950s on goods traded with Singapore.

  • Tariffs made goods entering Malaya from Singapore more expensive and thus less desirable to customers in Malaya. This reduced the amount of trade between Malaya and Singapore.

  • If Singapore and Malaya merged, a common market could be established through the merger.

Malayan hinterland would create a larger demand for Singapore’s goods and trade would increase and more jobs could be created for the people.

The main cause of why Singapore’s economy was struggling:

  1. Lacked natural resources

  2. Had a rapidly growing population in need of jobs

  3. A decline in entrepot trades

  4. Tariffs (introduced in the 1950s)

What they plan to establish after the merger:

  1. Common market → trade would increase → more jobs created for the people

What Was Malaya’s Response To A Possible Merger?

There was initial hesitation in Malaya towards the merger. However, it eventually turned around and accepted the possibility of a merger despite the doubts.

1. Malaya’s Initial Response

  • Malayan Prime Minister, Tunku Abdul Rahman initially thought a merger with Singapore spelt trouble.

  • He saw stark differences in outlook between the people in Singapore and Malaya.

  • He was concerned that the predominantly Chinese population in Singapore might be reluctant to accept a Malaya Sultan as their Head of State, use Malay as the national language or accept Islam as the state religion.

  • A merger with Singapore meant the combined Chinese population would outnumber the Malays.

  • The Tunku also suspected that many Chinese in Singapore had sympathies for the communists, given that many of them had led and supported the strikes of the 1950s.

  • He was worried that such attitudes would spread to the rest of the new federation.

2. Fear Of An Independent, Communist-Influenced Singapore

  • Malaya had a representative on Singapore’s Internal Security Council.

  • If Singapore became an independent state, Malaya would no longer have a representative on the Internal Security Council and would lose influence over the security matter in Singapore.

  • That, together with the absence of a colonial government could make the threat of communism in Singapore harder to contain.

  • The Tunku was concerned that the PAP might be taken over by members who were sympathetic toward communism.

  • Which would result in the Singapore government being less willing to consider a merger on terms acceptable to Malaya.

  • He realised Singapore would be less dangerous if it became part of Malaya as the Malayan government would be able to control the communist elements in Singapore.

  • The Tunku feared that Singapore becoming an independent country that turned communist, could influence others to consider a communist government as an alternative.

3. Hong Lim By-Election

The Hong Lim by-election in April 1961 further fuelled Tunku’s fears and led him to support the idea of a merger. PAP’s Ong Eng Guan served as Mayor of Singapore’s City Council, and then Minister for National Development in 1959, and then he started to fall out of favour within the PAP by 1960.

In June 1960, Ong Eng Guan openly challenged the PAP leadership at one of its party conferences, he was suspended, and later expelled. This triggered the Hong Lim by-election. Contesting as an independent candidate, Ong Eng Guan defeated the PAP’s candidate by 73.3% of the vote. The by-election worried the Tunku as it pointed to the increasing divide within the PAP.

One group - had moderate views and wanted to bring about political change gradually through elections.

Ong’s group - had radical views and pushed for drastic changes, taking more forceful measures to achieve their aims.

With Ong’s win, it seemed to Tunku the moderate group was losing its influence in the PAP. This increased his fear that the radical group would gain control over the party. He was worried by the radical PAP that wanted to free Singapore of British colonial rule by establishing a communist government through forceful means. He was worried Singapore will be used as a base to spread communist ideas in Malaya.

4. Agreement On Proposed Merger

  • Tunku signalled his change of heart in a speech on 27 May 1961, a month after the Hong Lim by-elections.

  • Tunku highlighted the prospect of a merger between Malaya and Singapore as part of the new formation of a new federation including other territories.

  • Bringing in these territories would help to offset Singapore’s Chinese majority.

  • Shortly after, Singapore’s Prime Minister Lee Kuan Yew declared his support for the Tunku’s suggestion.

  • Discussion on the merger began, however, the radical group within the PAP objected to the merger as they felt that once Singapore became independent through the merger, they would be put down by the federal government in Malaya, which controlled internal security.

  • The radical group within the PAP decided to sabotage the PAP by asking voters to support the opposition candidates instead.

  • This resulted in the PAP candidate losing the Anson by-election on 15 July 1961, which sealed Tunku’s commitment to the formation of Malaysia.

  • On 24 August 1961, Prime Minister Lee and the Tunku agreed on the broad terms of the merger.

What Was The Result Of The “Battle Merger”?

The British agreed to the broad terms of the merger. However, the proposed merger met with fierce opposition from some groups within Singapore.

1. Opposition From Barisan Sosialis

  • Most PAP leaders were in favour of the proposed merger, and some within the party, such as Lim Chin Siong and Fong Swee Suan, strongly opposed it.

  • They felt the terms were unfavourable to the people in Singapore and tried to get support from other PAP members to challenge Prime Minister Lee Kuan Yew’s leadership.

  • They did not succeed and were later expelled from the PAP.

  • The expelled members subsequently established a new party: Barisan Sosialis Singapore.

  • Dr Lee Siew Choh became Chairman of the party while Lim Chin Siong was its Secretary-General.

  • They opposed the merger because of several reasons.

  • One issue was the status of the Singaporean population within the federation.

  • They were concerned that citizenship would not be automatically granted to Singapore citizens, and only be known as “federal nationals” and could only vote in Singapore elections.

  • Another issue was the allocation of seats in the federal parliament.

  • In exchange for having control over its education and labour, Singapore would only have 15 seats, while North Borneo and Sarawak were given more seats despite their smaller population.

  • They felt that the under-representation of Singapore in the Malaysian Parliament was a sign of its second-class status.

  • In September 1961, the Barisan Sosialis started a campaign to oppose the merger.

  • They participated in radio forums to debate the issues surrounding the proposed merger.

2. The PAP’s Campaign

  • At the same time, the PAP embarked on a year-long campaign to convince the people of the need to merge with Malaya.

  • From September to October 1961, Prime Minister Lee gave a series of radio talks called ‘The Battle For Merger’. Broadcast on Mondays, Wednesdays and Fridays, they were delivered in the 3 main languages on the same evening.

  • Mandarin at 6:45 p.m. - English at 7:30 p.m. - Malay at 9:00 p.m.

  • The talks were later re-broadcasted in Tamil, Hokkien and Cantonese.

  • These radio broadcasts allowed Prime Minister Lee’s talk to reach people in Singapore, Brunei, Malaya, North Borneo and Sarawak.

  • They were an important feature of a keenly contested battle for the hearts and minds of the people.

  • The PAP also used exhibitions to highlight the benefits of a merger.

  • Example - Malaysia Exhibition that was part of Malaysia Week in early 1962, held at the Victoria Memorial Hall. It was jointly organised by the governments of the territories that were to form the new federation.

  • The exhibition aimed to showcase the close cultural and social ties among the territories.

  • It exposed visitors to the lives and cultures of the people, as well as the trade and commerce of the territories.

3. Referendum

-A referendum is a direct vote by the people on a specific issue.

  • A referendum was held on 1 September 1962 following the end of these campaigns.

  • The purpose of the referendum was to find out what type of merger the people in Singapore wanted.

  • Voters were given three options, each proposing a different form of merger.

  • PAP’s preferred option was Option A.

  • While the Barisan Sosialis opposed all three options and urged the people to cast blank votes.

  • The results of the referendum were a clear indication of the people’s support for the government’s position.

  • Almost 71% of the votes were in favour of Option A.

  • While blank votes made up almost 26%.

  • Most voters had rejected the Barisan Sosialis’ call to cast blank votes during the referendum.

4. Weakening Of The Barisan Sosialis

  • On 2 February 1963, the internal Security Council detained more than 100 people, including Lim Chin Siong and 23 other Barisan Sosialis members.

  • They were accused of attempting to sabotage the formation of Malaysia and planning to launch an uprising in Singapore.

  • The series of arrests was code-named Operation Coldstore.

  • The Barisan Sosialis was weakened by the arrests of its leaders during Operation Coldstore and suffered defeat in the subsequent 1963 election.

The PAP won 37 out of 51 seats, while the Barisan Sosialis managed to only win 13 seats.

5. Reactions To The Formation Of Malaysia Outside Of Singapore and Malaya

  • Brunei

    -Decided against joining Malaysia

    -Gained independence from Britain in 1984

  • The Philipines

    -Did not recognise Malaysia, insisting it had a rightful claim to North Borneo

    -Broke off relations with Malaysia in 1963

  • Indonesia

    -Opposed the merger as it felt that it would give the British continued control over the territories in the new federation and that North Borneo and Sarawak should come under its influence.

    -Broke off diplomatic and trade relations with Malaysia in 1963.

    -Launched a policy of Konfrontasi in January 1963, which involved military attacks, bombings and other acts aimed at causing instability in the states that were to from the federation.

North Borneo and Sarawak

-Agreed to join Malaysia after findings from the Cobbed Commision indicated that two-thirds of the people in North Borneo and Sarawak wanted to join Malaysia.

(Cobbed Commission = was set up in January 1962 to inquire about the views of the people of North Borneo and Sarawak towards the formation of Malaysia. The findings were endorsed by the United Nations Commissions.)

6. Formation Of Malaysia

  • Despite opposition from the different groups, the merger went ahead.

  • On 9 July 1963, the Malaysia Agreement was signed in London by Britain, Malaya, Singapore, Sabah and Sarawak.

  • The federation of Malaysia came into effect on 16 September 1963.

  • As Singapore was now one of the Federation’s 14 member states, control of its foreign affairs and defence would be transferred to Malaysia.

  • Some of the initial terms of the merger remained the same.

  • For instance, Singapore citizens would not be entitled to all the same rights as other Malaysian citizens, such as the right to vote in Malaysian elections outside of Singapore.

  • However, other terms of the merger were modified.

  • One important modification was that Singapore citizens would automatically become citizens of the Federation of Malaysia.

  • It was also agreed that the Malaysian common market would be established in stages.

  • Festivals were held throughout the island to celebrate the establishment of the Federation.

  • On 16 September 1963, during the Malaysia Day celebrations, Prime Minister Lee jubilantly proclaimed the formation of Malaysia from the steps of City Hall.

  • Less than two years later, Singapore left the Federation of Malaysia.

Why Did Singapore Separate From Malaysia?

A lot of effort was put in by the various parties to create Malaysia. Yet, Singapore was part of it for less than 2 years. Both economic disagreements and political differences strained relations between the federal government in Malaysia and the state government in Singapore, resulting in the separation of Singapore from Malaysia on 9 August 1965.

1. Economic Disagreements

There were two main issues. One, Common Market. Two, Revenue Contribution.

Common Market

-What Singapore Expected as Part of the Merger:

  • The common market would be set up for its long-term economic survival.

  • Tariffs on Singapore-made goods would be removed.

-What the Federal Government Decided:

  • There was a delay in setting up the common market.

  • Tariffs continued to be imposed on Singapore-made goods to protect some of Malaya’s industries.

Revenue Contribution

-What Singapore Expected as Part of the Merger:

  • Singapore would contribute 40% of its revenue to the federal government.

-What the Federal Government Decided:

  • The federal government increased Singapore’s contribution to 60% as defence spending had risen significantly due to Konfratasi.

  • Singapore felt that the decision was unfair and that its original contribution was sufficient.

2. Political Differences

There were two main issues. One is the composition of political parties. Two, the treatment of races.

Composition of Political Parties

-Singapore:

  • Singapore’s major political parties, such as the PAP, were multiracial and sought to represent the interests of all communities.

-Federal Government of Malaysia

  • The federal government was formed by the Alliance Party, which comprised three communal parties: the UMNO, MCA and MIC.

  • These parties sought to look after the interests of the respective ethnic communities.

  1. UMNO - United Malays National Organisation

  2. MCA - Malayan Chinese Association

  3. MIC - Malayan Indian Congress

Treatment Of Races

-Singapore:

  • Singapore’s government felt that everyone, regardless of race, should be given equal opportunity to succeed.

  • It believed that the best way of enabling the Malays to gain better employment opportunities was by providing free education.

-Federal Government of Malaysia:

  • Special privileges in employment, business and education were given to the Malays with the aim of improving their economic and social position.

  • For instance, a certain number of jobs in the government were reserved for Malays.

Over time, these differences in views would strain the relationship between the two governments.

The Call For A Separation

  • By mid-1965, Tunku Abdul Rahman was convinced that the differences between the federal government and the state government of Singapore could not be resolved.

  • He saw the 1964 racial clashes as a sign of the disorder that would spread throughout the Federation if these differences persisted.

  • He felt that it would be best for Singapore to leave Malaysia.

  • A few PAP leaders also thought the separation would help bring an end to the problems.

  • By July 1965, secret negotiations on Singapore’s exit from the Federation had begun.

  • Within a few weeks, the independence of Singapore Agreement was signed and Singapore was no longer a part of Malaysia.

  • On 9 August 1965, an emotional Prime Minister Lee announced Singapore’s separation from the Federation in a live televised press conference.

  • The proclamation of Singapore was signed by Prime Minister Lee on 9 August 1965.

  • It formally declared that Singapore was no longer “a state of Malaysia and shall become an independent and sovereign state and nation separate from and independent of Malaysia.”

  • With its departure from the Federation, Singapore was now an independent nation.

  • It became a republic with Yusof bin Ishak as its first President.

(republic - a country without a king or queen, usually governed by elected representatives of the people and a president)

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History-Chapter 8: How Did SG Become An Independent Nation? (Secondary 2)

Why did the PAP government pursue the merger with Malaya?

1. Political Independence

  • British would only grant Singapore independence if it merged with Malaya, so a merger was deemed necessary for Singapore to achieve political independence.

  • During the Cold War, Britain feared that Southeast Asia would fall under communist control

  • To safeguard Singapore and the Borneo territories from the spread of communism, the British wanted to provide greater political stability by forming a new federation comprising Malaya, Singapore, Brunei, Sarawak and North Borneo.

2. Economic Survival

  • Another reason the PAP wanted to pursue a merger was the belief that Singapore could not survive economically in the long term without a merger.

  • Singapore did not appear to have a promising economic future if left on its own.

  • It lacked natural resources and had a rapidly growing population in need of jobs.

  • Also facing a decline in entrepot trade as its neighbours became independent and wanted to direct their exports through their own ports, reducing Singapore’s importance as a regional trading port.

  • The Malayan government introduced tariffs in the 1950s on goods traded with Singapore.

  • Tariffs made goods entering Malaya from Singapore more expensive and thus less desirable to customers in Malaya. This reduced the amount of trade between Malaya and Singapore.

  • If Singapore and Malaya merged, a common market could be established through the merger.

Malayan hinterland would create a larger demand for Singapore’s goods and trade would increase and more jobs could be created for the people.

The main cause of why Singapore’s economy was struggling:

  1. Lacked natural resources

  2. Had a rapidly growing population in need of jobs

  3. A decline in entrepot trades

  4. Tariffs (introduced in the 1950s)

What they plan to establish after the merger:

  1. Common market → trade would increase → more jobs created for the people

What Was Malaya’s Response To A Possible Merger?

There was initial hesitation in Malaya towards the merger. However, it eventually turned around and accepted the possibility of a merger despite the doubts.

1. Malaya’s Initial Response

  • Malayan Prime Minister, Tunku Abdul Rahman initially thought a merger with Singapore spelt trouble.

  • He saw stark differences in outlook between the people in Singapore and Malaya.

  • He was concerned that the predominantly Chinese population in Singapore might be reluctant to accept a Malaya Sultan as their Head of State, use Malay as the national language or accept Islam as the state religion.

  • A merger with Singapore meant the combined Chinese population would outnumber the Malays.

  • The Tunku also suspected that many Chinese in Singapore had sympathies for the communists, given that many of them had led and supported the strikes of the 1950s.

  • He was worried that such attitudes would spread to the rest of the new federation.

2. Fear Of An Independent, Communist-Influenced Singapore

  • Malaya had a representative on Singapore’s Internal Security Council.

  • If Singapore became an independent state, Malaya would no longer have a representative on the Internal Security Council and would lose influence over the security matter in Singapore.

  • That, together with the absence of a colonial government could make the threat of communism in Singapore harder to contain.

  • The Tunku was concerned that the PAP might be taken over by members who were sympathetic toward communism.

  • Which would result in the Singapore government being less willing to consider a merger on terms acceptable to Malaya.

  • He realised Singapore would be less dangerous if it became part of Malaya as the Malayan government would be able to control the communist elements in Singapore.

  • The Tunku feared that Singapore becoming an independent country that turned communist, could influence others to consider a communist government as an alternative.

3. Hong Lim By-Election

The Hong Lim by-election in April 1961 further fuelled Tunku’s fears and led him to support the idea of a merger. PAP’s Ong Eng Guan served as Mayor of Singapore’s City Council, and then Minister for National Development in 1959, and then he started to fall out of favour within the PAP by 1960.

In June 1960, Ong Eng Guan openly challenged the PAP leadership at one of its party conferences, he was suspended, and later expelled. This triggered the Hong Lim by-election. Contesting as an independent candidate, Ong Eng Guan defeated the PAP’s candidate by 73.3% of the vote. The by-election worried the Tunku as it pointed to the increasing divide within the PAP.

One group - had moderate views and wanted to bring about political change gradually through elections.

Ong’s group - had radical views and pushed for drastic changes, taking more forceful measures to achieve their aims.

With Ong’s win, it seemed to Tunku the moderate group was losing its influence in the PAP. This increased his fear that the radical group would gain control over the party. He was worried by the radical PAP that wanted to free Singapore of British colonial rule by establishing a communist government through forceful means. He was worried Singapore will be used as a base to spread communist ideas in Malaya.

4. Agreement On Proposed Merger

  • Tunku signalled his change of heart in a speech on 27 May 1961, a month after the Hong Lim by-elections.

  • Tunku highlighted the prospect of a merger between Malaya and Singapore as part of the new formation of a new federation including other territories.

  • Bringing in these territories would help to offset Singapore’s Chinese majority.

  • Shortly after, Singapore’s Prime Minister Lee Kuan Yew declared his support for the Tunku’s suggestion.

  • Discussion on the merger began, however, the radical group within the PAP objected to the merger as they felt that once Singapore became independent through the merger, they would be put down by the federal government in Malaya, which controlled internal security.

  • The radical group within the PAP decided to sabotage the PAP by asking voters to support the opposition candidates instead.

  • This resulted in the PAP candidate losing the Anson by-election on 15 July 1961, which sealed Tunku’s commitment to the formation of Malaysia.

  • On 24 August 1961, Prime Minister Lee and the Tunku agreed on the broad terms of the merger.

What Was The Result Of The “Battle Merger”?

The British agreed to the broad terms of the merger. However, the proposed merger met with fierce opposition from some groups within Singapore.

1. Opposition From Barisan Sosialis

  • Most PAP leaders were in favour of the proposed merger, and some within the party, such as Lim Chin Siong and Fong Swee Suan, strongly opposed it.

  • They felt the terms were unfavourable to the people in Singapore and tried to get support from other PAP members to challenge Prime Minister Lee Kuan Yew’s leadership.

  • They did not succeed and were later expelled from the PAP.

  • The expelled members subsequently established a new party: Barisan Sosialis Singapore.

  • Dr Lee Siew Choh became Chairman of the party while Lim Chin Siong was its Secretary-General.

  • They opposed the merger because of several reasons.

  • One issue was the status of the Singaporean population within the federation.

  • They were concerned that citizenship would not be automatically granted to Singapore citizens, and only be known as “federal nationals” and could only vote in Singapore elections.

  • Another issue was the allocation of seats in the federal parliament.

  • In exchange for having control over its education and labour, Singapore would only have 15 seats, while North Borneo and Sarawak were given more seats despite their smaller population.

  • They felt that the under-representation of Singapore in the Malaysian Parliament was a sign of its second-class status.

  • In September 1961, the Barisan Sosialis started a campaign to oppose the merger.

  • They participated in radio forums to debate the issues surrounding the proposed merger.

2. The PAP’s Campaign

  • At the same time, the PAP embarked on a year-long campaign to convince the people of the need to merge with Malaya.

  • From September to October 1961, Prime Minister Lee gave a series of radio talks called ‘The Battle For Merger’. Broadcast on Mondays, Wednesdays and Fridays, they were delivered in the 3 main languages on the same evening.

  • Mandarin at 6:45 p.m. - English at 7:30 p.m. - Malay at 9:00 p.m.

  • The talks were later re-broadcasted in Tamil, Hokkien and Cantonese.

  • These radio broadcasts allowed Prime Minister Lee’s talk to reach people in Singapore, Brunei, Malaya, North Borneo and Sarawak.

  • They were an important feature of a keenly contested battle for the hearts and minds of the people.

  • The PAP also used exhibitions to highlight the benefits of a merger.

  • Example - Malaysia Exhibition that was part of Malaysia Week in early 1962, held at the Victoria Memorial Hall. It was jointly organised by the governments of the territories that were to form the new federation.

  • The exhibition aimed to showcase the close cultural and social ties among the territories.

  • It exposed visitors to the lives and cultures of the people, as well as the trade and commerce of the territories.

3. Referendum

-A referendum is a direct vote by the people on a specific issue.

  • A referendum was held on 1 September 1962 following the end of these campaigns.

  • The purpose of the referendum was to find out what type of merger the people in Singapore wanted.

  • Voters were given three options, each proposing a different form of merger.

  • PAP’s preferred option was Option A.

  • While the Barisan Sosialis opposed all three options and urged the people to cast blank votes.

  • The results of the referendum were a clear indication of the people’s support for the government’s position.

  • Almost 71% of the votes were in favour of Option A.

  • While blank votes made up almost 26%.

  • Most voters had rejected the Barisan Sosialis’ call to cast blank votes during the referendum.

4. Weakening Of The Barisan Sosialis

  • On 2 February 1963, the internal Security Council detained more than 100 people, including Lim Chin Siong and 23 other Barisan Sosialis members.

  • They were accused of attempting to sabotage the formation of Malaysia and planning to launch an uprising in Singapore.

  • The series of arrests was code-named Operation Coldstore.

  • The Barisan Sosialis was weakened by the arrests of its leaders during Operation Coldstore and suffered defeat in the subsequent 1963 election.

The PAP won 37 out of 51 seats, while the Barisan Sosialis managed to only win 13 seats.

5. Reactions To The Formation Of Malaysia Outside Of Singapore and Malaya

  • Brunei

    -Decided against joining Malaysia

    -Gained independence from Britain in 1984

  • The Philipines

    -Did not recognise Malaysia, insisting it had a rightful claim to North Borneo

    -Broke off relations with Malaysia in 1963

  • Indonesia

    -Opposed the merger as it felt that it would give the British continued control over the territories in the new federation and that North Borneo and Sarawak should come under its influence.

    -Broke off diplomatic and trade relations with Malaysia in 1963.

    -Launched a policy of Konfrontasi in January 1963, which involved military attacks, bombings and other acts aimed at causing instability in the states that were to from the federation.

North Borneo and Sarawak

-Agreed to join Malaysia after findings from the Cobbed Commision indicated that two-thirds of the people in North Borneo and Sarawak wanted to join Malaysia.

(Cobbed Commission = was set up in January 1962 to inquire about the views of the people of North Borneo and Sarawak towards the formation of Malaysia. The findings were endorsed by the United Nations Commissions.)

6. Formation Of Malaysia

  • Despite opposition from the different groups, the merger went ahead.

  • On 9 July 1963, the Malaysia Agreement was signed in London by Britain, Malaya, Singapore, Sabah and Sarawak.

  • The federation of Malaysia came into effect on 16 September 1963.

  • As Singapore was now one of the Federation’s 14 member states, control of its foreign affairs and defence would be transferred to Malaysia.

  • Some of the initial terms of the merger remained the same.

  • For instance, Singapore citizens would not be entitled to all the same rights as other Malaysian citizens, such as the right to vote in Malaysian elections outside of Singapore.

  • However, other terms of the merger were modified.

  • One important modification was that Singapore citizens would automatically become citizens of the Federation of Malaysia.

  • It was also agreed that the Malaysian common market would be established in stages.

  • Festivals were held throughout the island to celebrate the establishment of the Federation.

  • On 16 September 1963, during the Malaysia Day celebrations, Prime Minister Lee jubilantly proclaimed the formation of Malaysia from the steps of City Hall.

  • Less than two years later, Singapore left the Federation of Malaysia.

Why Did Singapore Separate From Malaysia?

A lot of effort was put in by the various parties to create Malaysia. Yet, Singapore was part of it for less than 2 years. Both economic disagreements and political differences strained relations between the federal government in Malaysia and the state government in Singapore, resulting in the separation of Singapore from Malaysia on 9 August 1965.

1. Economic Disagreements

There were two main issues. One, Common Market. Two, Revenue Contribution.

Common Market

-What Singapore Expected as Part of the Merger:

  • The common market would be set up for its long-term economic survival.

  • Tariffs on Singapore-made goods would be removed.

-What the Federal Government Decided:

  • There was a delay in setting up the common market.

  • Tariffs continued to be imposed on Singapore-made goods to protect some of Malaya’s industries.

Revenue Contribution

-What Singapore Expected as Part of the Merger:

  • Singapore would contribute 40% of its revenue to the federal government.

-What the Federal Government Decided:

  • The federal government increased Singapore’s contribution to 60% as defence spending had risen significantly due to Konfratasi.

  • Singapore felt that the decision was unfair and that its original contribution was sufficient.

2. Political Differences

There were two main issues. One is the composition of political parties. Two, the treatment of races.

Composition of Political Parties

-Singapore:

  • Singapore’s major political parties, such as the PAP, were multiracial and sought to represent the interests of all communities.

-Federal Government of Malaysia

  • The federal government was formed by the Alliance Party, which comprised three communal parties: the UMNO, MCA and MIC.

  • These parties sought to look after the interests of the respective ethnic communities.

  1. UMNO - United Malays National Organisation

  2. MCA - Malayan Chinese Association

  3. MIC - Malayan Indian Congress

Treatment Of Races

-Singapore:

  • Singapore’s government felt that everyone, regardless of race, should be given equal opportunity to succeed.

  • It believed that the best way of enabling the Malays to gain better employment opportunities was by providing free education.

-Federal Government of Malaysia:

  • Special privileges in employment, business and education were given to the Malays with the aim of improving their economic and social position.

  • For instance, a certain number of jobs in the government were reserved for Malays.

Over time, these differences in views would strain the relationship between the two governments.

The Call For A Separation

  • By mid-1965, Tunku Abdul Rahman was convinced that the differences between the federal government and the state government of Singapore could not be resolved.

  • He saw the 1964 racial clashes as a sign of the disorder that would spread throughout the Federation if these differences persisted.

  • He felt that it would be best for Singapore to leave Malaysia.

  • A few PAP leaders also thought the separation would help bring an end to the problems.

  • By July 1965, secret negotiations on Singapore’s exit from the Federation had begun.

  • Within a few weeks, the independence of Singapore Agreement was signed and Singapore was no longer a part of Malaysia.

  • On 9 August 1965, an emotional Prime Minister Lee announced Singapore’s separation from the Federation in a live televised press conference.

  • The proclamation of Singapore was signed by Prime Minister Lee on 9 August 1965.

  • It formally declared that Singapore was no longer “a state of Malaysia and shall become an independent and sovereign state and nation separate from and independent of Malaysia.”

  • With its departure from the Federation, Singapore was now an independent nation.

  • It became a republic with Yusof bin Ishak as its first President.

(republic - a country without a king or queen, usually governed by elected representatives of the people and a president)