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 the recent London talks. I am glad to say, however, and I can say it because I did not take part in those talks, that everyone was determined to reach agreement and, as the House knows, agreement was finally achieved.

I am sorry that the Sultan of Brunei felt unable to sign. We have long taken the view that Brunei should decide this matter for herself. We thought that it was in her best interests to join and we still think so. Indeed, for our part, the door is still open for Brunei's accession if she wishes to join later, and I hope very much that she will.

I hope at least that the House will agree that Malaysia in principle is an 926 absolute "natural" in every way, politically and economically. Already there are the common languages of Malay and, I might say, English, too, and a common currency. The separation of Singapore from Malaya makes little sense politically and, I would think, no sense at all economically. North Borneo and Sarawak would clearly not be viable in isolation, or even together for many years to come. I believe that for them federation is the only high road to independence. That is the main reason why we were so keen about it for them; it seemed to be the best way home.

The fact that Malaysia will mean increased economic development is another most important factor and, I expect, had as much effect as anything else in influencing public opinion in favour of federation. Towards this increased development, we are contributing a gift of £10 million and Singapore is providing loans of £17½ million, some of which will be interest-free for at least the first five years. In addition to the economic partnership which Malaysia will certainly provide, there will be, I am sure, as there already is in Malaya, a real racial partnership between these people, and a political partnership, too, by which I mean not merely a replacement of Britain by Malaya as the dominant power. I do not think that it will work out like that at all. I think that it will be a real partnership and not a substitution of Malaya for Britain.

All these factors will, I hope, make Malaysia an area of real stability in a not very stable part of the world. It should have a valuable result in this context and I believe that this stability will be further increased by the extension to the whole of Malaysia of the existing Anglo-Malayan defence agreement. From our point of view—one might as well be frank about these things—this ensures to us the use of the Singapore base, which is very important, and from the Malaysia point of view it ensures our assistance to them in the external defence of the new Federation if that should ever become necessary. It is a two-way traffic.

The details of the aid, both defence and economic, which we are giving to the new Federation were announced yesterday by my right hon. Friend, but as 927 they were given in reply to a Written Question perhaps I might restate what was then said. We have offered a total of about £30 million for defence and development over the three years 1963–65 and an estimated sum of about £13 million after 1965, when there will be a further review of defence aid.

Before I conclude, I should like to pay a special tribute to the good will of the Malayan leaders, who have agreed that the Borneo States, with only 1¼ million people out of a total population of the Federation of 10 million, should have 40 of the 159 seats in the Federal Parliament—that is a beau geste; that they should have as of right, and not merely as grant-in-aid, sufficient funds to maintain and increase their State services; and that even in Federal subjects like education, the policy and system of administration should not be changed without the consent of the State Governments. Malaya has been very forthcoming in all these matters.

Substantial safeguards have been achieved for religion and although Islam will be the religion of the Federation, there will be no State religion in the Borneo States and no law can be enacted restricting the propagation of other religious doctrines among Muslims—by missionary work, for example—without a two-thirds majority of the State assemblies. I do not think it likely that that would ever be achieved, because the Muslims number only about one-third in those territories. The actual figures of Muslims are 38 per cent. in North Borneo and 23 per cent. in Sarawak. My expectation, therefore, is that there would be little likelihood of that two-thirds majority being achieved.

Mr. R. W. Sorensen (Leyton) With the possibility of wholesale conversions that take place to any religion, and in the