CAB129-37 — Page 763

Page 763

Page 763

Page 763

383

over Page 764 of 1997-growing countries of Page 764 of 107 through

and them would have a strangle-hold on the whole of Asia. More- over, the frontiers of Malaya and India would be directly threatened and the long-term policy of His Majesty's Government would have become impracticable.

(a) The conference therefore concluded that South East Asia should be regarded as a region in which an emergency exists and that policy towards it should be pursued with a proper consequential note of urgency.

9.

Indo-China.

The conference concluded that if the Bao Dai experiment failed French withdrawal from Indo-China would 'become inevitable, with disastrous effects on our general strategic position in South East Asia. It was therefore recommended that every possible assistance should be given to the French in their attempt to rally and consolidate the Vietnamese national movement round Bao Dai. Specifically, the conference made four recommendations:-

(a)

(b)

(c)

(a)

that His Majesty's Government should grant de facto

recognition to Bao Dai immediately after the transfer of power on 1st January, and de jure recognition after ratification by both parties of the agreement between the French and Bao Dai;

that His Majesty's Government should encourage the

French Government to make all possible concessions to Bao Dai, to transfer Indo-Chinese affairs from the Ministry of Overseas France to the Ministry of Foreign Affairs, and to give assurances that they would agree to the extension of Vietnamese diplomatic representation abroad;

that His Majesty's Government and the United States Government should publish a declaration about the Tongkinese frontier similar to Mr. Acheson's declaration about the Honkong frontier (in which he pointed out at a press conference that if Hongkong were attacked the United States would be prepared to carry out its obligations as a member of the Security Council);

that the present ban on close co-operation with the French authorities in Indo-China with regard to anti-Communist propaganda should be lifted.

10.

Siam.

2

The conference considered that it was essential, in view of Siam's strategic importance to do everything possible to strengthen the determination of the present Siamese Govern- ment to resist Communist. infiltration and pressure. In order to do this and in order to maintain the political stability of Siam under the existing régime it was recommended that every effort should be made to meet Siam's requirements in the purchase of military equipment and in the strengthening of her economic position (for example, by permitting her if possible to float a public loan in London next year, and by allowing for political factors in negotiations in such matters as British war claims against Siam).

11.

Burma.