CONFIDENTIAL

FOREIGN AND COMMONWEALTH OFFICE

FAE 1/2

819en

DIPLOMATIC REPORT No. 223/74

General Distribution

SIR SAM FALLE'S VALEDICTORY DESPATCH

The British High Commissioner at Singapore to the Secretary of State for Foreign and Commonwealth Affairs

SINGAPORE

9 April, 1974

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Introduction

SUMMARY

The people of Singapore are great. (Paragraphs 1-3.)

Lee Kuan Yew

2. Mr. Lee remains the dominant figure. He remains clear headed and realistic but has become more withdrawn. He is some- times heavy handed and can be rough and insensitive but his virtues outweigh his vices. (Paragraphs 4-7.)

External affairs

3. Singapore has abandoned the Poisonous Shrimp-Israel image, and is trying hard to get on with its neighbours and the rest of the world. This policy is having some success but will take time because of Singapore's previous aggressiveness. Singapore aims to become a World City" and this is an attainable aim. (Paragraphs 8-9.)

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Internal affairs

4. Inflation is Singapore's main problem. They are however' able if need to be to accept a lowering of their standard of living. (Paragraph 10.)

Britain and Singapore

5. We do not any longer have a special position but this does not matter. If we withdraw our forces, or make any change in our contribution to the Five-Power arrangements, this must be done gracefully and in full consultation with our partners. (Paragraphs 11-14.)

British economic interests

6. Exports over £100 million per annum but our share of the market is falling. We could sell much more if we could deliver. (Paragraph 15.)

Clapham Junction with red carpets

7. Everyone comes to Singapore. (Paragraph 16.)

PM3

p.3 nole Seneral arhic

20905-223 148733-20

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