Saturday, March 25, 2023

From Third World to First - The Singapore Story (1965-2000)

When my mother-in-law passed me this book (750-pages) 3 weekends ago, I had some doubts if I could finish it. But this book proved to be a magnet. Anyone interested in South East Asia’s modern history will learn much from this book.

"This is not a how-to book, whether to build an economy, an army, or a nation. It is an account of the problems my colleagues and I faced, and how we set about solving them." 


At 35, Mr. Lee Kuan Yew was prime minister of self-governing Singapore from 1959. In 1963, Singapore had formed the Malaysian Federation with Malaya, Sarawak and Sabah.

Mr. Lee never expected to take charge of an independent Singapore at the age of 42, in 1965. Practically no one thought Singapore could survive. No natural resources, no jobs, no army/self-defence, the early days were a mess, with a lot of firefighting.

Those were also the days of Sukarno’s Konfratasi, covert attacks on Malaysia and Singapore. The British naval base in Singapore was a deterrent. On 18 November 1967, the British devaluated the pound sterling from US$2.80 to USD$2.40, and Singapore’s reserve, which were still kept in London in sterling lost 14.3%. Politics in the UK also meant that forces to the east of Suez will withdraw by the end of 1971. Singapore would lose about 20% of GDP and 30,000 jobs with the end of British military spending, and the future would be uncertain. Mr. Lee tried to prolong the British presence in Singapore. The Vietnam war was on-going, and the MCP (Malayan Communist Party) was a real threat. Alas, he was able to negotiate some agreements with Australia, NZ and Malaysia to form a pact, and by 1968, he took a 3-month sabbatical at Harvard, after running office for 9 years.

Mr. Lee is staunchly anti-communist, though he worked with them in the 50s. Forming the Malaysian Federation was to prevent the formation of a communist regime in the former colonies. His encounter and negotiation with the Plen could be made into a James Bond movie. He first met the Plen when he was an assemblymen 1958, where the PAP worked with the MCP. Their final meeting (in Singapore) was in May 1961. Mr. Lee then gave the Plen a public notice for him to leave Singapore before Malaysia Day, September 1963. Both would meet at Diayutai (VIP statehouse), Beijing in August 1995. The Plen wanted to return to Singapore, but Mr. Lee didn’t agree, until he discloses his accounts with the ISD by demonstrating that he had cut off his links with the CPM.

The Plen said the Malaysian Special Branch had invited him to return; why could Mr. Lee not be as generous as the Malaysian government? Mr. Lee told him the obvious: The CPM could not win over its Malay mass base, unlike Singapore’s Chinese base. Mr. Lee suggested the Plen to accept the Malaysian government’s offer. The Plen was not amused.

~~~

Mr. Lee and his team believed in socialism and fair shares for all, but later learned that personal motivation and rewards are essential for a productive economy. The Housing and Development Board (HDB) was set up in 1960 to ensure a home-owning society. If every family owned its home, the country would be more stable.

~~~

Both Choo and I had been educated in English-language schools. When we met students from China while studying in England, we became conscious of how deculturalized we were, almost like the Chinese students from the Caribbean. We were like hundreds of Raffles College graduates, not formally tutored in their own Asia cultures, but not belonging to British culture either, lost between two cultures.

Choo and I decided we should not inflict this cultural handicap on our three children, and sent them to Chinese schools to become part of this vibrant, vigorous, self-confident community, even if their English suffered.

~~~

When the PAP government took office in 1959, we set out to have a clean administration. We were sickened by the greed, corruption and decadence of many Asian leaders. Fighters for freedom for their oppressed people had become plunderers of their wealth.

Corruption used to be organized on a large scale in certain areas. In 1971, the Corrupt Practice Investigation Bureau (CPIB), set up by the British in 1952 broke up a syndicate of over 250 mobile squad policemen who received payments ranging from S$5 to S$10 per month from lorry owners, to prevent harassment.

A precondition for an honest government is that candidates must not need large sums of money to get elected, or it must trigger off the cycle of corruption. Having spent a lot to get elected, winners must recover their costs and also accumulate funds for the next election.   

~~~

Mr. Lee was influential in establishing ASEAN (1967), a pact between Indonesia, Malaysia, Thailand, the Philippines and Singapore. He had first engaged with Suharto in 1966 when he took power in Indonesia. Suharto had the capacity to end the Konfrantasi. Suharto was crucial for the success of ASEAN. He didn’t act like a hegemon. It did not insist its point of view but look into consideration the of others. This made it possible for the others to accept Indonesia as the first among equals.  

One of the more challenging episodes were the Vietnamese invasion of Cambodia, aided by the Soviet Union. China, Thailand and Singapore were on the other side of the fence, trying to pressure Vietnam to stop the aggression. Fresh from the defeat of US during the Vietnam war, they went into Cambodia to bring down Pol Pot’s Khmer Rouge, which was more than notorious.

~~~

At a conference in Sydney organized by the Australian Financial Review in April 1994, Gareth Evans, the minister of foreign affairs invited me to speak candidly about Australia. I took him at his word. Australia, I said, was “a lucky country with an embarrassment of riches”. Australia had high consumption, low savings, low competitiveness, high current account deficit and high debt, with most of its exports in minerals and agricultural products.

Whether Australia’s destiny is tied to Asia’s suddenly came to the fore with the East Timor Crisis on 27 January 1999. 80% of East Timor’s population voted for independence, and having lost, pro-integration militias systematically devastated the country and uprooted the population. After tremendous international pressure for a week, President Habibie finally invited international peacekeepers to restore order. The multinational force to East Timor (InterFET) departed their base in Darwin. Singapore and a host of countries sent personnels like doctors and observers, contributing to a multiracial group. It will be detrimental if it was a ‘white’ against ‘brown’ kind of confrontation.

~~~

For me, the main action and blockbusters of this book is towards the last third, where Mr. Lee talks about regional and international events and relationships. Major events such as the collapse of Soviet Union, reopening of China, returning of Hong Kong, Margaret Thatcher’s UK, etc. were captivating.

Towards the end of the 70’s, Singapore was an important ally of the US, yet sharing a cordial relationship with China. It was the height of the cold war, and Singapore, or more specifically Mr. Lee became an important stopover for every US President when they come to this region.

Mr. Lee tried had to attract investment from Japan, who by the 70’s was already an industrialized country. The cruelty during WW2 did not deter Mr. Lee from learning from the Japanese. After painstaking discussions shipyard was jointly built in Jurong.

Because of their cultural values, they will be among the survivors after any catastrophe. From time to time, they are hit by the unpredictable forces of nature – earthquakes, typhoons and tsunamis. The behaviour after Kobe (earthquake) in 1995 was exemplary and impressive. Riots and looting followed in Los Angeles in 1992 after a less devastating earthquake.

~~~

Mr. Lee reserved his highest praise for Deng  Xiaoping, who visited Singapore in 1978, at the age of 74. Banished during the cultural revolution just a few years ago, he took leadership after the death of Mao Zedong. He is credited for reopening up China, and Singapore was his reference. The rest was history. I think the leaders of Singapore (of the 70’s) should be proud of themselves, being a futuristic and modern country at the time. Deng had dreams and actions to fulfil, before joining Karl Marx, and he was determined.

He was the most impressive leader I had met. He was a five-footer, but a giant among men. At 74, when he was faced with an unpleasant truth, he was prepared to change his mind.  

Mr. Lee knew Singapore’s position, probably applies to all ethnic Chinese in the region. Communism was still a threat, with China providing some support.

It will be better for the ethnic Chinese in Asean if China does not underline their kinship and call upon their ethnic empathy. The suspicion of the indigenous peoples will always be there, whether or not China emphasises these blood ties. But if China appeals to these blood ties so blatantly, it must increase their suspicions. China must stop radio broadcasts from south China by the Malayan and Indonesian Communist Parties.

After 2 years, radio broadcast on communist propaganda from south China stopped.

At the end of January 1979, Deng visited America and restored diplomatic relations with President Carter without the United States abandoning Taiwan. He was making sure the US would not align itself with the Soviet Union when China attacked Vietnam to force a retreat from Cambodia. The Vietnamese knew China would attack if they went beyond Cambodia on to Thailand.

~~~

Mr. Lee was mindful of succession planning. He saw first-hand how leaders such as Suharto over-stayed and met a not very glorious ending. It was critical to pass the baton to younger leaders. He stayed on in Parliament as a mentor.

Getting together a team to succeed my colleagues and me was almost as difficult as getting Singapore off the ground after independence.

~~~ 

As a boy of six, I rode in a bullock-cart of wooden wheels bound in a metal strip, without springs or shock absorbers, enjoying a hilariously bumpy ride on a dirt track to my grandfather’s rubber estate. Fifty years later, in 1977, I flew in a supersonic Concorde from London to New York in three hours.

I had to sing four national anthems: Britain’s God Save the Queen, Japan’s Kimigayo, Malaysia’s NegaraKu, and Singapaore’s Majulah Singapura; such was the political upheaval s of the last 60 years.

Would my colleagues and I have embarked on our journey had we known the hazards and perils we would face when we formed the PAP in November 1954? Had we known how complex and difficult were the problems lay ahead, we would never have gone into politics with the high spirits, enthusiasm and idealism of the 1950s.

I did not know when I started my political life in the 1950s that we would be on the side of the winners of the Cold War and that Singapore would enjoy economic and social progress that flowed from stability, enterprise and links with the West. The most difficult years were from independence in 1965 to British withdrawal in 1971. Only when the British forces had left and we did not suffer severe unemployment did I feel we were less vulnerable.

~~~

It was a pleasure reading this book.  

In many ways, I learned to appreciate how ASEAN operates as a block. We are a diverse group of countries, afraid of the major powers that came - Europeans, Japanese, Americans... But some how, the past few decades has seen this region prosper and enjoy peace. ASEAN has become a region of  interest in the world, where global trade, technology advancement will pass through. It is definitely exciting and promising times ahead. 

A lot has to do with the contribution of Mr. Lee, and the leaders of the region, especially post-Sukarno Indonesia. We argue with each other, but when facing a threat like Soviet Union, China or the US, we are united as a block. We will find our own way out.  

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