Johor’s IDR puts pressure on S’pore
In an interview with Berita Harian on the occasion of its 50th anniversary today, Minister Mentor Lee Kuan Yew was asked for his views on Singapore’s relations with Malaysia and Indonesia. ‘We always have ups and downs,’ he said, citing the latest episodes: the defence cooperation agreement with Indonesia, and Malaysia’s new development project in Johor. Zakir Hussain reports
SINGAPORE faces the prospect of losing industries and jobs to Johor’s new Iskandar Development Region, said Minister Mentor Lee Kuan Yew.
Still, Singapore supports the economic zone because from a broader perspective, Mr Lee sees both countries being better off when ‘Malaysia benefits from Singapore’s economic growth, and vice versa’.
The IDR is a 2,217 sq km zone that aims to make south Johor an economic dynamo. Malaysian Prime Minister Abdullah Badawi has invited the Singapore Government and businessmen to invest in it.
However, when Singapore responded positively, ’strong dissenting voices claimed that we were out to exploit Malaysia and the bumiputeras’, said Mr Lee.
It was a similar situation in Indonesia.
When a newly signed defence cooperation pact with Singapore came up for debate in Indonesia’s House of Representatives, members ‘accused Singapore of breaching the sovereignty of Indonesia by our SAF exercises in Indonesia’, said Mr Lee.
These issues, he said, were being exploited domestically by those out to embarrass their respective governments.
‘The chorus of protest voices sours up grassroots support for the leaders, and for cooperation projects with Singapore which benefit their own countries.
‘It is non-stop politicking to deny any credit to the Abdullah Badawi or SBY governments,’ he added, referring to Indonesia’s President Susilo Bambang Yudhoyono.
MM Lee cited the reaction of opposition Parti Islam SeMalaysia (PAS) as typical.
He quoted at length from the June 12 issue of Harakah, the official newspaper of the PAS.
It wrote that Singapore had never yielded to any of Malaysia’s demands.
‘In fact, Singapore treats the water and its water catchment areas in Johor as its own resources and territory, as if Malaysia has no sovereignty over them.
‘There is nothing to show that Malaysia has won in any of its bilateral dealings with Singapore.
‘Thus when Singapore is so enthusiastic about the IDR and says it is willing to help Malaysia progress by participating in the IDR, Malaysia must be on its guard.
‘We must find out what Singapore will stand to gain, that has made it so eager to participate.’
Accusing Singapore of needing land to support its growing strength and stability, the Harakah added: ‘Singapore is offering to help its neighbours develop their territories in the same way that Sir Stamford Raffles developed Singapore - after buying it from Johor some 200 years ago - thus causing the loss of Johor’s sovereignty and Malay land in Singapore.’
While the attack from PAS is not unexpected, Mr Lee said investors here need to take note when Umno leaders, especially from Johor, hit out in the same vein.
‘Potential investors from Singapore must seriously ask themselves when these attitudes will change, and how welcome their investments will be,’ he said.
He pointed out that the IDR project will put pressure on Singapore, just as Shenzhen did to Hong Kong.
But unlike Hong Kong, Singapore cannot expect Malaysia to be generous towards it.
When Shenzhen came up, industries from Hong Kong were drawn to it and other towns in the vicinity.
Hong Kong was left with little manufacturing businesses and higher unemployment. It now relies on providing services.
If the same loss hits Singapore, ‘we will have a severe unemployment problem because not all factory workers can find jobs in services’, said Mr Lee.
Also, no one will come to Singapore’s rescue, unlike with Hong Kong, which Beijing rescued by letting millions of mainland tourists go there, boosting spending, and by letting Hong Kong companies extend their operations into China on generous terms, he said.
Singapore cannot expect the same treatment from Malaysia, he added.
‘But we believe that, from a broader perspective, it is better for both countries that Malaysia benefits from Singapore’s economic growth, and vice versa.
‘Hence Singapore supports the IDR, on a win-win basis.’
Source : The Straits Times, 01 July 2007
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