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SECRET willing to cooperate with the United states and capable of resisting internal and external Communist threats.

76. Encourage and support British, Australian, Federation of Malaya and Singapore Government efforts to strengthen moderate political forces in order to counteract as much as possible the extreme left's pull on the Government. Be prepared, however, after consultation with the British, to take such independent action as necessary to accomplish this end.

77. In case the Communists or extreme leftists move to gain control of the Government by legal or violent means, consult with the United Kingdom, the Federation, and if appropriate other interested parties, and as necessary support counteraction, being prepared, as necessary, to take independent action along the lines of paragraph 21.

78. Should overt Communist aggression occur against Singapore, place initial reliance on the resources possessed by Singapore, the British and the Federation of Malaya, but be prepared to take action, if necessary, in accordance with paragraph 20.

79. While recognizing the desire of Singapore to merge with the Federation, do not encourage such a step unless and until such action appears to be useful in achieving both long-range and short-range U. S. aims as set forth in paragraphs 75 and 76; in the meantime use the Singapore Government's desire for closer ties and eventual merger with the Federation in an effort to counteract the extreme left's pull on the government.

80. Encourage efforts by the Government of Singapore to solve its political and economic problems in ways consistent with U. S. objectives. To the extent feasible, rely on the United Kingdom to provide external financial support to Singapore and, to the extent desired by the United Kingdom support the utilization of Free World international financial institutions in the promoting of economic development and economic reforms in Singapore. Be prepared, however, to provide U. S. technical and economic development assistance when such assistance would be of special significance in achieving U. S. objectives.

81. In all U. S. activities in Singapore, keep in mind the continuing British responsibility for Singapore's defense and foreign affairs, and the British role in internal security as well as British knowledge and experiences in governing Singapore, and seek to avoid action likely to cause a serious misunderstanding between the United States and the United Kingdom. Rh