George Yong-Boon Yeo
Singapore
“Sir, I would hesitate to make it compulsory because that seems high-handed, and many Singaporeans, when they are overseas, rather prefer not to get in touch with us until they run into trouble. Then they scurry. And, really, in this age of the Internet and Facebook, it is not difficult.”
“Mr Chairman, Sir, we have to take these comments in our stride. What is important is that in Prime Minister Najib, we have a Malaysian leader who is decisive and who wants good relations with Singapore. Settling the POA was not a simple matter. It took a few years of careful negotiations.”
“We are fortunate to be located geographically, economically and culturally, smack right in the middle between China and India, the two most important centres of growth in the world today. But because our economy links us in a myriad ways to the world outside, every change in the world feeds back to us directly or indirectly.”
“These issues are raised at the international level from time to time. A few years ago, we had raised this at the United Nations (UN), and if it is necessary and helpful to raise this at the UN, WHO or any other international forum, we will continue to do so. Yes, we have been doing this.”
“I think the important thing is to be effective. It is not just to give emotional satisfaction to our own sense of hurt and grievance. The important thing is to be effective, and if we can be effective without commotion, all the better. But if we need a commotion, we will have a commotion. But the key is to be effective.”
“At the broader level, Indonesia has also announced a voluntary carbon emissions reduction target of 26% by 2020, and up to 41% with international support. These emissions reductions are slated to come, in large part, from the forestry sector.”
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“One Egyptian journalist wrote warmly about our Arab district near Kampong Glam though he also lamented that our command of the Arabic language is poor. Mr Hawazi said that we should learn Arabic, and indeed we should. Now, every time I meet Foreign Service Officers of Arab origin, I say, "Look, you better brush up your Arabic". We are encouraging our officers to study Arabic. And it should not just be Foreign Service Officers. We need more Singaporeans to learn the language. I was happy to learn that an enterprising graduate of Al Azhar University has recently opened a school to teach Arabic in Kembangan. URA is thinking of doing up our Arab district to give it a richer Middle Eastern character. And we are attracting more and more tourists from the Middle East here. At Tan Tock Seng Hospital, the Johns Hopkins wing, some have already described it as an Arab hospital. We will also be establishing a Middle East Institute to enhance our knowledge and understanding of the region's culture, economics and politics. As we build up Islamic banking in Singapore, more of the funds from the Middle East - and it is a lot of funds - will flow here. To facilitate the growth of our economic links, we will be expanding our diplomatic coverage in the Middle East, concentrating on the countries which provide us with more opportunities. Israel and the Palestinian Authority 5.45 pm”
“We discovered to our pleasant surprise that they knew far more about Singapore than we did about them. The Middle East, therefore, presents a huge new opportunity for us. Our companies are welcome there. For example, SATS (Singapore Airport Terminal Services) made its first entry into the Middle East last month when it was awarded a contract to handle ground operations at the Doha International Airport, quite a valuable contract. Against stiff international competition, Sembcorp Utilities won the Fujairah Independent Water and Power Project in Abu Dhabi. It was the first time that Abu Dhabi has chosen a Singapore company since it embarked on its privatisation drive several years ago. And some of our SMEs, like BreadTalk and Charles & Keith, are also gaining footholds in that region. And all this is just the beginning. A new frontier has opened up for us. Mr Leong Horn Kee painted a picture of what is happening there. Mr Hawazi asked, how should we prepare Singaporeans for this new adventure. Well, we have to do many things. And the first thing is to recognise that there are many things that we do not know. To begin with, we need good political relations. This explains the flurry of high-level visits on both sides. Last year, Singapore helped to organise the first meeting of Asian and Middle Eastern countries called AMED. Thirty-eight countries and the Palestinian National Authority participated. It was a good inaugural meeting. Without the cooperation of many of our Arab friends, that meeting could not have been held. The ice broke easily and quickly. Many of the participants from the Middle East were pleasantly surprised to find a reflection of their own region in Singapore.”
“With abundant energy resources and high prices, which will stay high because of the growing economies of China and India, many Middle Eastern countries have the resources to build up their physical and social infrastructure and to invest overseas. According to OPEC's estimate, over the next 25 years, some US$500 billion will be spent on oil infrastructure. Another US$100 to US$150 billion will be spent annually on social and economic infrastructure in the Gulf region, according to the Gulf Times. Qatar alone has US$130 billion worth of projects on the table. Growing tensions between Islam and the West after September 11 have led many Middle Eastern countries to look increasingly to Asia, not only as a partner for trade and investment, but also as a model for development. There is a certain frustration with the West, and we can only imagine their disappointment at the recent strong reaction in the US Congress against Dubai's acquisition of P&O's ports in the US. China and India have become new factors in the politics and economics of the Middle East. They are already among the largest consumers of Middle Eastern oil exports. The decision of Saudi Arabia's King Abdullah to make Asia the first region of his overseas visits, including both China and India in his itinerary, was deliberate. Singapore enjoys a good reputation in the Middle East, much more than most Singaporeans realise. We are often held up, sometimes to our embarrassment, as a model for development and of good government, especially by the smaller Gulf states who share with us many similarities. When we embarked on our new policy two years ago to engage the Middle East, we found friends everywhere who were happy to work with us.”
“Dr Warren Lee asked about the state of our relationship with Australia, in particular, the implications of our hanging of a convicted drug trafficker and the decision by the Australian government to keep SIA out of the trans-Pacific route. Mr Tan Soo Khoon also commented on this during the Budget debate. In actual fact, overall, our relationship with Australia is excellent and remains excellent. We have extensive interest in each other's economy; we share common views on many strategic issues; there is a high degree of comfort in our interactions; our defence links are broad and deep. Although there were strident reactions to the hanging case - some quite racist - the majority of Australians supported us. Throughout, the Australian government was entirely proper in the way it handled the case. As regards the trans-Pacific route, while we were naturally disappointed, and we just heard Minister Yeo Cheow Tong recount the history, in the end, we respect the decision of the Australian Cabinet to protect Qantas. That is their decision. But it is clear that our hopes for Open Skies with Australia are perhaps not realistic in the short term despite Australia's commitment to Open Skies in our Free Trade Agreement. But we will continue to work for Australia's deeper engagement with ASEAN. We fought hard for Australia's inclusion in the EAS and supported strongly Australia's FTA with ASEAN. Mr Ravindran, Mr Leong and Mr Hawazi asked about our links with the Middle East. This is an important new region for us, particularly in the economic field.”
“In the last few months, we have also played host to the visits of the Hungarian Prime Minister and the Lithuanian President. All the Central and Eastern European countries are keen to engage us and they welcome our businessmen to go there. However, while Singapore's relations with Europe are good, ASEAN's relationship with Europe can be improved. There is a tendency among Europeans to concentrate on China, Japan and India when they look at Asia. Southeast Asia catches their attention only when there are particular issues of domestic political importance to them, like Myanmar, or when there are natural disasters like the Boxing Day tsunami when Europeans responded with the greatest generosity. The Europeans have also played a helpful role in the Aceh peace process. But the strategic understanding of Southeast Asia is lacking. It is in Singapore's and ASEAN's interest to capture a greater European mindshare for our region. For indeed, we are important to them. Something like 40%, if not half, of their total international trade passes through our waters. To answer Mr Ravindran and Dr Warren Lee, Russia's economy is of growing importance to Singapore. Last year, Minister Mentor Lee Kuan Yew visited Russia twice and had good discussions on ways to strengthen bilateral cooperation. With high commodity prices, Russia, as a resource-rich country, is playing a significant role in the global economy. We will be helping Russia to develop a Special Economic Zone. We also support a deepening of Russia's political and economic engagement with ASEAN in the coming years.”
“Last year, we signed a Strategic Framework Agreement which strengthens security cooperation. The US-Singapore Free Trade Agreement has strengthened our competitive position, particularly our attractiveness as a hub for intellectual property. ASEAN's relationship with the US has also improved. As Mr Ravindran pointed out, an Enhanced Partnership Agreement was mooted last year setting the stage for a summit meeting between President Bush and the Leaders of APEC's ASEAN members in Busan. At the coming APEC meeting in Hanoi, it is likely that another such summit will be held. US officials are already talking about this becoming an annual Summit. To answer Mr Hawazi about Japan, Japan is indeed another important player in the region and a strong partner of Singapore. With renewed growth of the Japanese economy, which we should remember is still more than twice the size of the Chinese economy, it behooves us to engage Japan more deeply. Singapore's links with Japan have never been better. This June, the Japanese Emperor and Empress will make a state visit to Singapore. This is the first ever State visit by a Japanese Emperor. To answer Mr Ravindran and Dr Warren Lee, our relationship with Europe is good. PM Lee had interesting meetings with both President Chirac and Chancellor Merkel during his official visits to France and Germany at the end of last year. President Chirac, Prime Minister Tony Blair, Spanish Prime Minister Jose Zapatero and Russian Prime Minister Fradkov were all in Singapore last July for the International Olympic Committee's meeting, and they called on our key leaders. Next month, we look forward to welcoming Queen Elizabeth, for whom many older Singaporeans have a special affection.”
“" Now he is talking about double digits. To be an effective partner of India, we need deep knowledge and this requires effort on our part. We will be upgrading our representation in Mumbai and Chennai and will be helping India to develop a Special Economic Zone. And we must also make full use of the Indian expatriate community in Singapore, which is growing. President Abdul Kalam's visit to Singapore in January this year symbolised the growing links between our two countries. Our China account is also growing nicely. Bilateral relations are back on track and picking up speed. We will increase our consular presence in China, opening new consulates in Guangzhou and Chengdu. We have also upgraded our representation in Shanghai. Last year, the Chairman of China's National People's Congress, Wu Bangguo, and Vice Premier Wu Yi visited Singapore. In October, PM Lee had a very good introductory visit to China as Prime Minister. As for the Singapore-China FTA, both Prime Ministers agreed that it would benefit both countries in the long term and facilitate regional cooperation and integration. A Joint Expert group will be formed soon to look into this. It is in Singapore's interest to have both India and China engage all of ASEAN and not just Singapore alone. For this reason, we have pushed hard for the conclusion of ASEAN's FTAs with them and to bring everyone together under the umbrella of the EAS. However, for both Singapore and ASEAN, it is important that we also strengthen our links to the US, Japan and Europe at the same time. The continued strategic presence of the US in Asia helps us to maintain peace in the region, even as it goes through rapid transformation. Singapore's links with the US are excellent.”
“Since a year ago, our relationship with both India and China has improved appreciably. It is our national strategy to engage both of them deeply and comprehensively and position ourselves for the growing trade between them. Last June, Prime Minister Lee Hsien Loong and Prime Minister Manmohan Singh signed the Comprehensive Economic Cooperation Agreement in Delhi which raised our relationship with India to a new level. In a nutshell, what CECA does is to restore in some respects the old position of the British Raj when trade between India and Singapore flowed freely, when standards were common, and professionals like doctors, accountants and engineers were able to move back and forth freely, operating within the same legal and regulatory framework. Our bilateral trade with India has been growing rapidly. Last year, it jumped 41%. For much of the 19th century, the largest trading partner of British India was, in fact, Qing Dynasty, China. Singapore was established by the East India Company for the China trade and grew on it. Well, in this century, there will be a new China trade which will benefit us immensely. The flow we are now seeing will become a flood. Already, within a few years, China will again be India's largest trading partner. 5.30 pm We must therefore encourage more Singaporeans to visit and understand India. India is not homogeneous. Conditions vary from state to state and from city to city. But the country on the whole is growing. I just read Finance Minister Chidambaram's budget speech. They are expecting 8% growth this year, and he said double digit growth for India is now within reach. He is an old friend. And when he was Finance Minister some years ago, I remember him making his budget speech at that time, and he said, "at a stretch, 7%.”
“As to earlier reports about moves to build a half-bridge on the Malaysia side, Wisma Putra has clarified to us in a TPN that Malaysia remained committed to negotiations for a full bridge and only soil studies are being conducted. We have explained to Malaysia the serious implications of a unilateral move by Malaysia to demolish its side of the causeway and replace it by a crooked bridge, however scenic. On Pedra Branca, a question asked by Mr Leong Horn Kee, the case before the ICJ is expected to be heard in 2007. Both sides have already put in their written submissions. As for security in Johore, a question raised by Mr Leong Horn Kee, I should just say that Johore leaders themselves are aware of this problem and have said publicly that they are giving it their full attention. Like Malaysia, our overall relationship with Indonesia has improved significantly since a year ago. In the coming year, we can expect our economic cooperation with Indonesia to gather momentum. As Members are aware, Singapore is also working with Indonesia on combating avian flu through a pilot project in Tanggerang, which is a Kabupaten next to Jakarta. A multilateral meeting is right now being held in Singapore, involving officials from Singapore, the US, Indonesia and international agencies. We are also going to open a consulate in the new province of Kepulauan Riau, Kepri, which consists of the islands of the Riaus, all the way up to Natunas. Negotiations for an extradition treaty, defence cooperation and counter-terrorism are being carried out in parallel, and making good progress. Dr Warren Lee asked about our relations with India and China and what impact their rise will have on our relationship with the US and Japan. This was also touched upon by Mr Ravindran.”
“Keidanren is interested to make use of this agreement to help Japanese companies invest in Vietnam using Singapore as a complementary hub. I was cheered this morning to read that Intel has decided to invest in a US$300 million facility outside Ho Chi Minh City. Let me now turn to bilateral relations with our immediate neighbours, Malaysia and Indonesia, and answer the questions raised by Mr Leong Horn Kee and Dr Ong Chit Chung. Our relations with Malaysia are good. They rest on a bedrock of common history and common interest. We have only to see the way the two Police Forces have cooperated on the Tan Chor Jin case recently. Within a few hours they were on his trail and now he is being extradited back to Singapore. So there are many things going on, which can only go on because of very good relations between counterpart departments on both sides. In January this year, the Agong made a state visit to Singapore - the first such visit after 18 years. Bilateral trade and investments have also picked up considerably on both sides of the Causeway. Yes, negotiations on the full bridge are still ongoing. The fourth round of negotiation has just ended on Monday. A fifth round of talks is tentatively scheduled for this month. These negotiations have made progress towards an appropriate balance of benefits for both sides. However, as negotiations are now in a delicate stage, it would not be useful for me to publicise the details. As for the low hanging fruits mentioned by Dr Ong Chit Chung, well, some are on our trees and some are on their trees and we have got to decide what is the correct balance fruits to be plucked, otherwise no fruits can be plucked.”
“When the leader of the Democratic Party, Mr Abhisit, was in Singapore a few weeks ago, he said that their actions against Prime Minister Thaksin were not directed against Singapore. So, on the whole, I would say that Singapore-Thai relations have not been adversely affected by the recent developments. I share Dr Ong's concern about the situation in Southern Thailand. The Muslim problem in the southern provinces has deep roots and has to be managed with that history in mind. It has affected Thailand's relationship with Malaysia. This is not good for ASEAN. However, on the whole, while keeping our fingers crossed, we can be optimistic about the future of ASEAN and I do not quite share Dr Teo Ho Pin's pessimism. As a group, we are doing well economically. Investor confidence in Indonesia is gradually returning. President Susilo Bambang Yudhoyono is determined to improve the business environment and we see progress in various part of the archipelago. In Aceh, the tsunami disaster has brought some good in the form of a peace agreement with GAM. If we look elsewhere, Vietnam is now the fastest growing economy in ASEAN. ASEAN countries have no choice but to draw closer in the face of China's and India's emergence as regional superpowers. Because of Japan's complicated relationship with China, there is a strong desire on the part of Japanese businesses to adopt a China plus One strategy. What we want is to make sure that the plus One is ASEAN. ASEAN can provide an alternative manufacturing base for Japanese companies. Singapore signed an economic agreement with Vietnam last year which will help Vietnam tap on Singapore's international connectivity until such time as Vietnam is able to establish its own.”
“And, because of that, India, in its own strategic calculations, has decided that it will keep its side-gate to Myanmar open. So, this month, President Abdul Kalam will visit Myanmar. Because these two gates are wide open, the Western embargo against Myanmar is not going to work. The country has fertile soil, rice is plentiful, the sea teems with fish. It is in our interest to ensure that we stay engaged with Myanmar, that our own gate to Myanmar is open. But what happens to that country is a source of concern. So, I think, let us just take a realistic approach. We are in no position to affect the course of internal developments. Whatever happens there, good or bad, it is for the Myanmar people to bear the consequences. But I think we will have to distance ourselves a bit if it is not possible for them to engage us in a way which enables us to defend them internationally. As for the impact of recent political developments in the Philippines and Thailand on ASEAN, a point alluded to by Mr Tan and mentioned by Dr Ong Chit Chung, we have to wait and see. Although some Filipinos, including former President Fidel Ramos, have objected to the declaration of a State of Emergency in the Philippines, it is not for us to second guess President Arroyo's decision when she faces a rebellion by a segment of the Philippine Army. However, I do not expect any change to the Philippines hosting the ASEAN Summit and the EAS at the end of this year. As for the protests against Prime Minister Thaksin in Bangkok, a concern raised by Dr Ong Chit Chung, we hope that fresh elections will bring some finality to the debate of the last few weeks. Has Singapore companies been affected? Not so far from the reports that I have read.”
“I hope that some progress would be made by the time Singapore hosts the ASEAN Summit in 2007, which is the 40th Anniversary of ASEAN. Myanmar might be a problem. As Mr Tan Soo Khoon lamented, the developments in that country are a cause for concern. To insulate ASEAN, the Myanmar government had agreed to give up the ASEAN Chair this year. That has been helpful. Because internal developments in Myanmar are sometimes a mystery to us, like the sudden bizarre decision to shift the seat of government from Yangon to Pyinmana, it has become more and more difficult for ASEAN to defend Myanmar at the UN and other international forums. Despite calls by ASEAN, and as Mr Tan Soo Khoon recounted, Aung San Suu Kyi remains, for a long time, under house arrest. In Kuala Lumpur last December, the Myanmar Prime Minister agreed to receive Malaysia's Foreign Minister Syed Hamid as an ASEAN envoy on a fact-finding visit. Unfortunately, till today, no date has been set for his visit. When ASEAN Foreign Ministers meet in Bali in April, I expect some hard decisions to be made on ASEAN's approach towards Myanmar. If Myanmar needs time out to attend to its own domestic preoccupations, I think we should respect it but, at the same time, the rest of ASEAN should not be held back. But, should we, as Mr Tan suggested, expel Myanmar from ASEAN? Of course, Mr Tan put it politely in the form of options. Let us look at the strategic picture. A long time ago, when Burma received its independence from Britain, it decided not to join the Indian Union. In fact, it was clear from the beginning that it was part of Southeast Asia. But it remains a buffer state between China and India. China has decided that whatever happens in Yangon, the back-gate to China would be wide open.”
“As they engage more with each other, politically and economically, we must make sure that ASEAN's interests are taken into account. Mr Ravindran referred to an article written by Mr Malik. I read that article and I think that it is not quite objective in the way he has portrayed China's role in the EAS. Yes, he was right that China had a different view of it initially, but once China realised that ASEAN had its own consensus, they were quite prepared to go along, and I believe China will play a positive role in the EAS. However, ASEAN can only play an active role in this entire process if we ourselves are united. I appreciate the points made by Mr Ravindran, Dr Teo Ho Pin and Mr Hawazi that ASEAN must get its act together. At the ASEAN Summit in Kuala Lumpur, the Leaders appointed an Eminent Persons Group (EPG) to recommend what steps we should take to integrate ASEAN economically, politically and socially beyond what we are already doing. The Chair is Mr Musa Hitam, former Deputy Prime Minister of Malaysia, and our own representative is Prof. Jayakumar. We need political will to achieve the ASEAN 2020 Vision mentioned by Dr Teo and Mr Ravindran. It is not enough just to have meetings, which there are already too many in ASEAN. This year's Summit in Manila will be critical because the EPG will be presenting its recommendations to the Leaders. Once the Leaders agree on the main points, ministers and officials will draw up an ASEAN Charter which will then become the constitutional basis of our future development. Some hard decisions have to be made as to how we achieve consensus, whether we are always dragged back by the slowest amongst us, whether we are prepared to subject disputes to third party panels for resolution.”
“The recent move to cease the function of the National Unification Council and the application of its Guidelines is worrying. It goes against earlier undertakings and will cause cross-strait tensions to rise unnecessarily. In the interest of regional stability, we hope that this issue will be handled with wisdom and restraints by Taiwan, China and the US. So long as US-China relations are managed well, the prospects for continuing peace and development in East Asia are good. In Kuala Lumpur last December, the first East Asia Summit (EAS) was convened. In addition to the 10 countries of ASEAN and the three countries of Northeast Asia, India, Australia and New Zealand were also included. As Mr Ravindran pointed out, the East Asia Summit is driven by ASEAN. We included India, Australia and New Zealand to make sure that ASEAN is at the centre and the group is clearly outward-oriented and inclusive. The first meeting went well. The Leaders of the 16 member countries have agreed to meet annually. It will take time for us to develop an agenda and we must now work hard to shape it and to do this in a way which does not cause the Americans or Europeans to think that we want to exclude them. There will be many issues to discuss which involve all of us because the entire continent is in ferment. Obvious issues would be maritime security, the war against terror, energy supplies and, of course, economic connectivity. 5.15 pm The countries in the East Asia Summit make up half the world's population. Mr Hawazi was right to point to the economic potential of this region to the global economy, which will have a combined GDP which is likely to be greater than that of the US or Europe in, let us say, 20 years' time. China and India are emerging as two new poles in the global economy.”
“Mr Chairman, Sir, allow me first to thank Members for their questions and comments on Singapore's foreign policy. To answer Mr Ravindran and Mr Hawazi, compared to a year ago, the regional outlook for Singapore has become more favourable although there are problems. The prospect for continuing peace in East Asia in the short to medium term is good. The most important relationship, the Sino-US relationship, is stable. Although there are contentious economic issues like China's huge trade surplus, the value of the RMB and the lack of intellectual property protection in China, both sides understand the need to keep the overall picture in view. China needs the US market; China values US investment; China also holds hundreds of billions of dollars in US financial instruments. And without China's cooperation, it is more difficult for the US to prevent the proliferation of weapons of mass destruction and to fight the war against terrorism. The US and China are now engaged in a strategic dialogue. They are cooperating on the problem of proliferation in North Korea and Iran. From a strategic competitor, the US now describes China as a "responsible stakeholder" in the global system. When US Deputy Secretary of State, Robert Zoellick hugged pandas in Chengdu recently, he was sending a signal of the way the US is seeing China. The key issue in Sino-US relations is Taiwan, as pointed out by Mr Hawazi. Because President Bush has taken a clear position on One China, it is difficult for pro-independence forces in Taiwan to win support. It is important for the Taiwan issue to be handled properly because of the importance of good US-China relations to regional and indeed global stability.”
“In his decision to reject the application, the Minister must consider any report made to him by the CAC. However, while the CAC can recommend granting citizenship to foreigners, the Minister will make the final decision on the application. To be a member of the CAC, one has to be a Singapore Citizen and a person of integrity, good character and reputation. These criteria inevitably involve judgment. The President will appoint the members on the advice of the Minister for Home Affairs after assessing the candidates' background, qualifications and contributions, including recommendations from people and organisations who are familiar with the candidates. Sir, the Ministry of Home Affairs places a high premium on honesty and integrity for all its officers. Should citizens and foreigners have any information on corrupt officials, they can lodge reports with the Corrupt Practices Investigation Bureau (CPIB). The Government treats such complaints and adverse feedback seriously. If the allegations are substantiated, offenders will be prosecuted in court.”
“Our TPN also stated that international facilities like the Causeway could not be demolished without the approval, agreement and involvement of both States. When I met Syed Hamid during the MFA-Wisma Putra Games, I said that while Singapore fully respected Malaysia's sovereignty, any major work in the Straits of Johor could affect Singapore and we needed to know the details to assess the environmental and other impacts. CITIZENSHIP ADVISORY COMMITTEE MEMBERS (Criteria and selection process) 2. Mr Steve Chia Kiah Hong asked the Deputy Prime Minister and Minister for Home Affairs (a) what are the criteria and selection process for members of the Immigration and Checkpoints Authority (ICA) Citizenship Advisory Committee (CAC); (b) what is the exact role of the ICA CAC in the process of granting citizenship to PRs; (c) what are the safeguards against corruption in the ICA CAC since the members have the power to make recommendations to grant citizenship to foreigners; and (d) how can citizens and affected foreigners go about blowing the whistle on rogue officials, especially if their citizenship applications are on the line. The Senior Minister of State for Home Affairs (Assoc. Prof. Ho Peng Kee) (for the Deputy Prime Minister and Minister for Home Affairs): Mr Speaker, Sir, the Citizenship Advisory Committee (CAC) is constituted under Section 18(2) of the Third Schedule to the Constitution of the Republic of Singapore. The Committee consists of three persons and is appointed by the President. Before rejecting a citizenship application, the Constitution requires the Minister to refer the case to the CAC. The role of the CAC is to review citizenship applications to ensure that the merits of each case have been duly considered before the Minister rejects the application.”
“The senior officials will be meeting again later this month. Mr Speaker, Sir, on 26th January this year, the New Straits Times reported that Malaysia is going ahead with plans to build a scenic bridge across its half of the Johor Strait, and that the Malaysian Government had decided not to wait for Singapore's decision on the matter. In view of this and other reports, we sent a Third-Person Note (TPN) to Malaysia on 27th January, seeking clarification on Malaysia's position on the bilateral negotiation process and its half-bridge proposal. We are awaiting an official response to our TPN. In the meantime, Malaysian leaders, including PM Abdullah and Syed Hamid, have clarified in the press that negotiations between Singapore and Malaysia are still ongoing. Singapore's position on the full bridge remains unchanged. As I told this House on 17th October last year, Singapore can agree to Malaysia's proposal to replace the Causeway with a new bridge only if there is a balance of benefits on both sides. Only then can the considerable costs involved in building our side of a new bridge be justified. It is how this balance of benefits can be achieved that is currently being discussed by the officials from both sides. As discussions are still ongoing, it would not be helpful to publicise further details at this stage. On the half-bridge, Singapore's consistent position has been reiterated on several occasions. On 25th October 2003, we sent a TPN to Malaysia stating that any unilateral decision to demolish its side of the Causeway to construct a half-bridge has to comply with the principles enunciated in the Order issued by the International Tribunal for the Law of the Sea (ITLOS).”
“Mr Speaker, Sir, Singapore and Malaysia continue to work at resolving our outstanding bilateral issues. As the House will recall, Senior Minister Goh Chok Tong visited Malaysia in December 2004 and March 2005 to discuss the outstanding issues with Prime Minister Abdullah Badawi. SM Goh and PM Abdullah had productive discussions and agreed on the steps to move the process forward. In particular, they agreed to conduct their talks based on two broad principles: first, any proposal should be mutually beneficial and not disadvantage either party and, second, both sides should not allow these old issues to hold future cooperation hostage. SM Goh and PM Abdullah agreed that it would not be helpful to publicise the details of these negotiations while they were going on. They also agreed that officials from both sides should meet to discuss the outstanding bilateral issues. Following this, senior officials from both sides have met three times on 6th and 7th September 2005, 19th October 2005 and 24th November 2005 for discussions. These discussions have been carried out as part of a process to find a mutually-beneficial solution on the issues, in the context of Singapore agreeing to build a full bridge to replace the Causeway. These discussions have made progress. During his visit to Singapore from 4th to 5th February this year for the MFA-Wisma Putra Games, Malaysian Foreign Minister Datuk Seri Syed Hamid and I affirmed that these bilateral negotiations would continue. We agreed that the bilateral negotiations should not go on forever. Syed Hamid and I have asked our officials to narrow the differences and, where this is not possible, crystallise the issues so that they can be surfaced to SM Goh and PM Abdullah for a political decision.”
“It is true, Mr Speaker, Sir, that when SM Goh and PM Abdullah met on 1st March this year, they agreed that it would not be helpful to publicise the details of our discussions on the outstanding bilateral issues at this juncture. It is unfortunate there have been some speculative news reports in the Malaysian media on the on-going discussions. And, when we raise it with Malaysian officials, they always deny that there was any "leak" by them. But on our side, we intend to adhere closely to what SM Goh and PM Abdullah had agreed to, that is, to keep on-going discussions out of the media glare, in order to avoid unnecessary complications. PROPOSALS FOR INTEGRATED RESORTS (Delay) 8. Dr Amy Khor Lean Suan asked the Minister for Trade and Industry in relation to the two Integrated Resorts, (a) what are some key considerations that have to be sorted out that have delayed the release of the Request for Proposal (RFP) for the Marina site till November 2005 and the Sentosa site till the first quarter of next year; (b) if it has been decided that a two-stage tender will be called for the Integrated Resort sites and if the tender price will remain the prime criterion for selection of the successful tenderer, given the drag high land cost can impose on the project feasibility. 9. Ms Irene Ng Phek Hoong asked the Minister for Trade and Industry (a) why is there a delay in the invitation for proposals for the integrated resorts; and (b) whether the social safeguards, such as the proposed $100-per-visit entry fee for Singaporeans and the 50 per cent cap on casino revenue, are also being reviewed as part of the process. The Second Minister for Trade and Industry (Dr Vivian Balakrishnan): Mr Speaker, Sir, with your permission, I would like to take Question Nos. 8 and 9 together.”
“Mr Speaker, Sir, I am a little wary about commenting on media reports, because these are not always accurate. However, on the half-bridge, DPM Jayakumar has, in this House, clarified the position. In October 2003, we sent a Third Party Note to Malaysia on this subject. In that TPN, Singapore reminded Malaysia that a unilateral decision to demolish its side of the Causeway to construct a half-bridge must comply with the principles enunciated in the Order issued by the International Tribunal for the Law of the Sea, an Order which was issued in response to Malaysia's application for provisional measures concerning Singapore's reclamation works. Members will recall the problem that we had earlier. So, by that same ITLOS order, Malaysia has to comply with certain principles. And any action by Malaysia must also be fully consistent with the requirements of international law governing such matters. Our TPN pointed out that international facilities, such as the Causeway, cannot be lawfully demolished without the approval, agreement and involvement of both States. We also expressed concern about the potential environmental impacts and other impacts arising from the dismantling of the Causeway. Since October 2003, we have sent several further TPNs to Malaysia re-stating our position on the half-bridge. Ms Irene Ng asked what would be the implications of a half-bridge, if built without our agreement. The implications would be serious. However, as negotiations for the proposed full bridge to replace the Causeway are still on-going, I do not think it would be helpful for me to talk about details or to speculate about various hypothetical outcomes.”
“This includes the sharing of information, the provision of diagnostic kits and antiviral medication, as well as training on safety and preventive measures. In addition to this, PM offered the assistance of our Regional Emerging Diseases Institute (REDI) to Indonesia. However, there remain bilateral issues that are complex and would take time to resolve. One such issue is the Extradition Treaty. Since my last update to the House, there have been five rounds of talks and good progress has been made. But it is not an easy agreement to negotiate. There are difficult issues to work through, some of which would require changing laws in Singapore and in Indonesia. The officials will be meeting again soon to continue their negotiations. Our negotiations on the Extradition Treaty will be conducted in parallel with the Defence Cooperation Agreement and the Counter-Terrorism Agreement. We have also started technical negotiations with Indonesia on the maritime boundary delimitation between the two countries. The first round of technical discussions was held in February this year and further rounds are forthcoming. Even as we deal with the outstanding bilateral issues, we should constantly explore new areas of cooperation. Both PM Lee and President Yudhoyono share the view that bilateral relations should not be conducted through megaphone diplomacy, especially when negotiations on sensitive issues and future cooperation are ongoing.”
“Last year, Singapore was the fourth largest investor in Indonesia, with 150 projects totalling some US$0.62 billion. Our cumulative investments between 1997 and last year amounted to S$10.8 billion. We also have close economic cooperation with the various provinces in Sumatra, and we have long been investors in Batam and Bintan. We hope that our private sector will increase their investment in Indonesia. Both sides signed an Investment Guarantee Agreement in February this year. We are also working to improve air connectivity between our two countries. Our respective tourism authorities are working closely together, and recently co-organised various activities to commemorate the 600th Anniversary of Admiral Zheng He's voyages. At the Bali Retreat, PM and President Yudhoyono agreed that Singapore and Indonesia should work together to promote joint tourism. We cooperate in other fields as well. For example, the two Ministries of Education signed a Memorandum of Understanding on Cooperation in Education in June 2005 that provides for student exchanges between our universities. Our post-tsunami assistance to Aceh is moving forward on schedule. The Government is working with the Singapore Red Cross Society on several reconstruction projects, including the construction of a pier in Meulaboh and the refurbishment of the Meulaboh General Hospital. We are helping to draw up an urban Master Plan for Meulaboh Town. Several Singapore NGOs are also actively involved in other projects in Aceh to help the people there rebuild their lives. At the Bali Retreat, the leaders talked about working together on the Avian flu, about which Minister Khaw has just answered your Questions. Singapore has offered to help Indonesia in its efforts to counter the Avian flu.”
“Despite these bilateral issues, I am confident that our two countries will continue to look ahead, and not allow old issues to affect our overall cooperation or to define the entire bilateral relationship between our two countries. Mr Speaker, Sir, bilateral ties between Singapore and Indonesia, I am happy to report, are also going well. Since my last update to the House in February, we have had many high-level bilateral interactions and visits. Since President Yudhoyono's State Visit to Singapore in February, there have been visits to Singapore by Vice President Jusuf Kalla in May, and the Chairman of the People's Consultative Assembly Hidayat Nur Wahid in April. SM Goh visited Jakarta in April this year and, two weeks ago, PM Lee met President Yudhoyono in Bali for an informal Retreat, barely two days after the bomb attacks there on 1st October 2005. The fact that both leaders decided to proceed with their Retreat demonstrated their common resolve to fight terrorism together. PM and President Yudhoyono had excellent discussions during their Retreat in Bali. This is their fourth meeting in this year alone. They have also been keeping in close touch via telephone on key issues and developments. In Bali, the two leaders discussed a range of bilateral issues and new areas of bilateral cooperation. Together with negotiations for an Extradition Treaty, the leaders agreed for both sides to negotiate a Defence Cooperation Agreement, and a Counter-Terrorism Agreement. The SAF has a strong history of excellent cooperation with the TNI, and the Defence Cooperation Agreement will build on this. Singapore-Indonesia economic ties are growing. From 2001-2004, Singapore was consistently ranked among the top five investors in Indonesia.”
“In particular, they agreed to conduct their talks based on two broad principles: First, that any proposal should be mutually beneficial and not disadvantage either party; and Second, that both sides should not allow these old issues to hold future cooperation hostage. Senior Minister Goh and Prime Minister Abdullah also agreed that it would not be helpful to publicise the details of these discussions while they were going on. Mr Speaker, Sir, Ms Irene Ng asked about the status of the discussions on the proposed bridge to replace the Causeway. Following the agreement reached between Senior Minister Goh and Prime Minister Abdullah, senior officials from Singapore and Malaysia met on 7th September this year for further discussions on the proposed bridge, as well as other bilateral issues, and they will meet again on the 19th of this month. Although there have been news reports in the Malaysian media suggesting that Malaysia has decided to go ahead with the construction of a bridge to replace the Causeway, I would like to clarify to this House that discussions on the bridge are still on-going and we should not prejudge the outcome of our discussions with Malaysia. In the meantime, Singapore's position on the bridge remains unchanged. Singapore can agree to Malaysia's proposal to replace the Causeway with a new bridge only if there is a balance of benefits on both sides. And only then can the considerable costs involved in building our side of a new bridge be justified. But as discussions are still going on, it would not be helpful for us to publicise further details at this stage.”
“Malaysian Minister for Agriculture and Agro-based Industries Muhyiddin Yassin visited Singapore in February 2005, during which he encouraged Singapore investment in Malaysian agricultural projects. We also welcomed Minister for International Trade and Industry Rafidah Aziz to Singapore in August. During her visit, businessmen from Singapore and Malaysia met to discuss business opportunities in Malaysia and in third countries. We welcome all such opportunities to deepen the links between our private sectors. Apart from mutual visits, there have also been substantive developments in economic cooperation. In June this year, Petronas signed a Gas Services Agreement with Keppel Engineering worth some $3 billion, to supply natural gas to Singapore through a new pipeline. There have also been significant new Malaysian investments in Singapore, such as Telekom Malaysia increasing its stake in MobileOne to almost 24% in August. Mr Speaker, Sir, Singapore and Malaysia continue to work at resolving our outstanding bilateral issues. In May this year, I spoke to this House about the signing of the Settlement Agreement in the Case Concerning Land Reclamation by Singapore In and Around the Straits of Johor on 26th April 2005. The manner in which the dispute was settled gives us confidence that we can resolve our bilateral issues in a similar way. In this regard, as Members of the House are aware, Senior Minister Goh Chok Tong visited Malaysia in December last year and in March this year to discuss some of the outstanding bilateral issues. Senior Minister Goh and Prime Minister Abdullah have had constructive discussions and agreed on the steps to move the process forward.”
“Sir, to answer Dr Tan Cheng Bock, Ms Irene Ng and Dr Warren Lee, there have been several positive developments in our bilateral relations with Malaysia in recent months. High-level visits and interactions are ongoing. In April this year, President Nathan was warmly received during a State Visit to Malaysia at the invitation of the Yang di Pertuan Agong. This was the first State Visit by a Singapore President to Malaysia since the late President Wee visited Malaysia in November 1991. President Nathan has, in turn, extended an invitation to the Agong to pay a State Visit to Singapore and looks forward to reciprocating Malaysia's warm hospitality. In April this year, Minister Mentor Lee Kuan Yew visited Kuala Lumpur, during which he spoke to the Asian Strategy and Leadership Institute's World Ethics and Integrity Forum. MM had good meetings with Prime Minister Abdullah Badawi and Deputy Prime Minister Najib Razak. During my visit to Kuala Lumpur from 5th to 7th September 2005 to address the Global Leadership Forum, I took the opportunity to call on Foreign Minister Syed Hamid and met several old friends. The following week, Minister Teo Chee Hean visited Kuala Lumpur, during which he launched the Eyes in the Sky (EiS) initiative to enhance security in the Straits of Malacca and Singapore. Mr Speaker, Sir, there have been high-level Malaysian visitors to Singapore as well. For example, Minister of Education Hishammuddin Hussein visited Singapore in June this year and had good discussions with our Education Minister Tharman Shanmugaratnam on cooperation in education between our two countries.”
“Mr Speaker Sir, with your permission, I would like to answer Questions 5, 6 and 7 together.”
“One, the involvement of an objective third party - ITLOS, the Group of Experts and the Arbitral Tribunal - which made possible an impartial and objective assessment of the facts of the case and the merits of the competing arguments. Two, the warmth and civility between the officials, experts and staff involved in this issue at all levels which contributed towards a happy ending. As I have said at the signing ceremony, the manner in which this dispute has been settled gives us confidence that we can resolve our other bilateral disputes in a similar way. We have demonstrated in this case, and in the Pedra Branca case, that where there is an impasse, rather than let our bilateral relations be held hostage to a particular dispute, we are prepared to have the matter referred to third party adjudication or arbitration. As good neighbours, we can overcome such disputes on the basis of objectivity, mutual benefit and mutual respect. INTEGRATED RESORTS (Jobs for Singaporeans) 3. Dr Amy Khor Lean Suan asked the Minister for Manpower (a) if his Ministry will be looking into ways to ensure that the maximum number of jobs created from the two Integrated Resorts will go to Singaporeans and permanent residents as is reported to be the case for the Hong Kong Disneyland project; and (b) if so, what will be the possible approaches that his Ministry will be adopting to encourage this outcome.”
“Considerations for settlement The considerations that led to the settlement are these: The main factor is that the expert study, which both countries had commissioned, had reached the unanimous conclusion that Singapore's reclamation works would cause no major impact to Malaysia. The minor and moderate impacts identified by the experts could be mitigated and both sides were prepared to implement these expert recommendations. Therefore, there was no necessity to pursue the matter further. There had also been a shift in attitudes on both sides. This dispute arose in an earlier phase when bilateral relations were less amicable. The subsequent improvement in bilateral relations over the course of the joint study, and the emphasis both sides placed on increasing win-win bilateral cooperation gave impetus to the resolution of the reclamation issue. As far as Singapore was concerned, we had no difficulty accepting the recommendations in order to settle the dispute. The key recommendation, which was a change to the reclamation profile at the south-eastern part of Pulau Tekong, concerned the detailed design of an area where we had yet to finalise the detailed design. As for the amounts of money to be paid for remedial works and compensation, we took into account the fact that they were very small compared with what both sides would have to incur if they were to go through with the full arbitration process. These factors collectively enabled both sides to settle the case in the spirit of goodwill and mutual benefit. Conclusion Looking back, I would like to highlight two hallmarks of the joint study and settlement negotiations.”
“The GOE was assisted by an independent consultant - DHI Water & Environment - jointly appointed by Malaysia and Singapore. Malaysia had claimed that Singapore's reclamation was "causing and has the potential to cause serious and irreversible damage to the marine environment". The Group of Experts' task was to determine what adverse impacts had or would occur. The GOE submitted its Report to both Governments on 5th November 2004. We have made the Report available on the MFA and MND websites. It is important to understand that the Group of Experts had carefully studied all of Malaysia's allegations of harm. The experts were professional and thorough in their scrutiny of the possible impacts from our reclamation works. At the end of the study, the Group of Experts unanimously found "no major impacts" arising from our reclamation works. All four experts concurred on this very significant finding. The Group of Experts found that, from a total of 57 impacts arising from our reclamation works, 40 were classified as "slight", meaning that while they could be detected in mathematical models, they are unlikely to be detectable in the field. The remaining 17 of these impacts were classified in the "minor" to "moderate" range. The Group of Experts made seven recommendations to alleviate the identified impacts. All their recommendations were accepted by Malaysia and Singapore, and formed the basis for bilateral negotiations to find a resolution. After three rounds of negotiations, Malaysia and Singapore signed a full and final settlement of the case on 26th April 2005.”
“Mr Speaker, Sir, Members would recall that Malaysia initiated international arbitration against Singapore on 4th July 2003, because of our land reclamation works, under the UN Convention on the Law of the Sea (UNCLOS). Malaysia then applied for provisional measures to the International Tribunal for the Law of Sea (ITLOS) on 5th September 2003. On 8th October 2003, ITLOS rejected Malaysia's request. Instead, it ordered the two Governments to appoint a group of independent experts to carry out a joint study of Singapore's land reclamation works, to be completed within a year. In the months that followed the ITLOS Order, the land reclamation issue comprised two parallel processes. On one track, Singapore and Malaysia jointly implemented the Order by appointing a group of four experts to carry out the joint study. On the other track, Singapore and Malaysia were parties to the arbitration case. Since the second track depended on the outcome of the first track, the arbitration was suspended by mutual agreement pending the completion of the joint study. The Settlement Agreement that was signed on 26th April 2005 represents a full and definitive resolution of both processes. Malaysia has agreed to terminate its arbitration case against Singapore. Both parties are in the process of applying to the Tribunal for a final Award based on the terms of the Agreement signed. Road to settlement There were several considerations that brought about this positive outcome. But before I go into them, I would like to recapitulate the key facts of the case: The joint study prescribed by ITLOS was carried out by an independent group of experts which comprised four professors of coastal engineering - two appointed by each side.”
“Let me assure Dr Ong Chit Chung that these fears are our concerns and we will make sure that, in the negotiations, these fears are fully taken into account.”
“In my recent visit to Washington DC, I had meetings with Secretary Condoleezza Rice, Deputy Secretary of State Ambassador Bob Zoellick who was a USTR and an old friend, the new National Security Adviser, Steve Hadley, and the Deputy Secretary of Defence, Paul Wolfowitz, who is an old friend of Singapore. At all the meetings, East Asia was discussed. I have no doubt that there is a lot of interest in our region. Yes, of course, President Bush went over to Europe, and was extra charming to the Europeans, because he now operates from the position of much greater strength after the successful elections in Iraq. He has got to get the Europeans to come along so that the peace process in the Middle East can be accelerated. But it does not mean that they are not interested in our part of the world. If Members had watched the way the US reacted to the tsunami, it was heart warming. Without US leadership, I do not think the overall response would have been what it turned out to be. And they were the only ones who could, at short notice, provide resources and assets on such a comprehensive scale. When I was at the Department of Defence, I met the military general who coordinated all the operations in the Indian Ocean. I said to him, "Well done!" United Nations and Other International Bodies”
“Mr Speaker, Sir, I should be very disciplined in not answering Mr Leong Horn Kee's first question on details concerning bilateral talks. Some things are cooking and they are best done in the kitchen. Let us wait for the dishes to appear. On Horsburgh Lighthouse, that has been taken up separately through the International Court of Justice. There are pleadings from both sides. There is a certain methodicity in the way the process is carried out. We are not likely to see a judgment on the case before the end of 2006.”
“Mr Speaker, Sir, I think this is an issue best taken up through international organisations, like the ILO.”
“I am in sympathy with Mr Tan Soo Khoon's view and impatience. But it is not the ASEAN way to put things in such a stark and confrontational manner. I am sure we will have meetings behind closed doors. Our words will be suitably lubricated with courtesies and acknowledgements of respect. But, I think in the end, I agree with Mr Tan that some hard messages have got to be put across because ASEAN and the ARF are being affected by what is happening in Myanmar. If these are just domestic political problems, with no impact on the world outside, then it is for the Myanmar people to resolve them themselves. But there is an impact on us. 1.30 pm”
“Seizing opportunities In this new world, being small and being a city state is no longer such a great disadvantage. In fact, there are many advantages because we are spry and quick to exploit opportunities. We have a chance now to grow our links in all directions and enlarge our security and economic space. We do not know how long this period of history favourable to us will last. In the meantime, we should work hard and quickly to build new structures which keep the spaces open to our people. This is the reason why Singapore plays such an active role in regional and international organisations. Our FTAs and other bilateral and regional arrangements also help us to preserve these spaces and to open new ones. It is very important for our companies and for individual Singaporeans to follow up to exploit these new spaces. Foreign policy is a means, not an end in itself. Our job in the Foreign Ministry is to help create a framework and environment that enables our entrepreneurs to fan out, seize opportunities and take calculated risks. Some have already done so with success. I hope many more will follow.”
“These are early days, and many things could still go wrong. On Iran's nuclear issue, Teheran has agreed to suspend its uranium enrichment activities temporarily while its talks with the UK, France and Germany continue. Well, we hope that the talks will be successful. Iran needs to cooperate fully with the International Atomic Energy Agency (IAEA) and restore international confidence. The recent report of a fatwa by Grand Ayatollah Khamenei against Iran developing nuclear weapons could be significant. Farther away, developments in South America bear watching. China has recently established strategic partnerships with Brazil and Argentina, which will involve investments of billions of dollars in infrastructure. In the coming years, trade between South America and Asia will grow and we should position Singapore for some of that flow. The FTAs we are discussing with Chile and Peru should help us. Our shipyards have become major players in Brazil's offshore oil industry and much of the frozen chicken meat in our markets now comes from Brazil. Global governance As a small country, we have a strong interest in promoting good global governance based on clear rules and the equality of nations. The proper functioning of international organisations like the UN and the WTO is very important to us. For this reason, we support the reform of the UN and the early conclusion of the Doha Development Agenda. Now that UNESCO is much better run, we have decided to rejoin it, first as an observer and later, in two or three years' time, as a full member. I am happy to report that the World Intellectual Property Organisation (WIPO) has recently decided to establish a regional facility in Singapore.”
“We have got to watch political and economic developments carefully. Led by the Gulf States, many countries in the Middle East are now experimenting with economic liberalisation and some are looking towards Asia. More than most Singaporeans realise, we are often held up as an economic model for them to follow. My old Harvard Business School Professor Richard Vietor told me last year that whenever he conducts courses in the Middle East, they would insist that the Singapore case be included. There are many things that we have to do to advance our interests in the Middle East. SM Goh Chok Tong's visits to Iran, the UAE, Egypt, Jordan, Bahrain and Saudi Arabia have opened new doors for us. The Asia-Middle East Dialogue (AMED) which SM Goh initiated, builds another bridge between the Middle East and our part of the world. Mr Hawazi Daipi asked for my assessment of peace prospects in the Middle East. Well, although the clouds have by no means dispersed, we are beginning to see some silver linings. The outcome of the elections in Iraq was better than expected. There was a good turnout in spite of terror attacks and brutal intimidation by the insurgents. Some Sunni groups, which had earlier boycotted the elections, are now thinking of joining the process to draw up a new constitution. There is also progress in Palestine, in the Israel-Palestinian peace process. The recent summit in Sharm el-Sheikh between Israeli Prime Minister Ariel Sharon and Palestinian President Mahmoud Abbas Abu Mazen was an important step forward. A ceasefire is now in place, it is still very delicate and both sides have taken small steps to rebuild trust and confidence. But we could be sure that there are trouble makers who want to sabotage the peace process.”
“He had just given a budget which was very well received by the Bombay Stock Market in which he talked about how, despite a bad monsoon last year, India achieved a growth rate of close to 7% and how India is now set on a new path to economic growth into the future. He said India has paid the fixed cost of democracy and so in the early years had a low growth rate, between 3% and 4%, but now they are set on a much faster growth path. Our links with India are excellent, almost a love affair. And regardless of the administration, it is likely that in a few months we will conclude the comprehensive economic cooperation, which is our FTA with India and that would put our bilateral relationship on a higher plane. We are also actively involved in strengthening India's links to ASEAN. You know, our High Commissioner, See Chak Mun, when he was posted to New Delhi, I told him, "Chak Mun, you are going to have a busy time." He smiled. That used to be quite a sedate posting and a hardship posting. Today it is a different Delhi and when I met Ambassador See recently, he said, "Boy, there is a constant procession of visits of political and business leaders in both directions." And I thought that expressed in a graphic way the state of bilateral relations today. Reaching out to new partners With globalisation, opportunities once too remote are now open to us. Since the change in our policy towards the Middle East less than two years ago, our links to that part of the world have grown rapidly. As Mr Hawazi Daipi said, the Middle East is a significant opportunity for our businessmen. But it is a complex region and we need to build up our knowledge of it. There are still many things which we do not understand and the risks should not be underestimated.”
“Although there are small signs of improvement, like the direct air links during the Chinese New Year period, the despatch of Vice Ministers from the Mainland to attend Koo Chen-foo's funeral and the recent ten-point agreement between Chen Shui-bian and James Soong, which Mr Leong and Mr Ravindran referred to, the situation is still tense and delicate, and we should not underestimate how tense and delicate the situation is. The US said recently that it is opposed to China's enactment of an anti-secession law even before the actual legislation has come out. China protested the recent joint statement by the US and Japan on the Taiwan Straits. But in the end, the key to peaceful cross-straits relations is good US-China relations. We hope that all sides will exercise restraint in their actions so as to preserve the peace and stability across the straits which is so important to all of us in the region. Mr Leong Horn Kee asked about our relations with Taiwan. Let me say that we have a one China policy and we have no official relations with Taiwan, but we have good relations with Taiwan. India Now let me turn to India, the other giant re-emerging, mentioned by Mr Ravindran and Ms Irene Ng. In the early 90s, when Prime Minister Narasimha Rao took India on a new course of development, we decided to position ourselves strategically for that new India, knowing full well that it is a process which will be long and winding. This morning I read the op-ed piece written by the Indian Finance Minister, Palaniappan Chidambaram, whom I have known for many years.”
“I have agreed with the Chinese that the second meeting of the Joint Council of Bilateral Cooperation (JCBC) which is under the direct supervision of PM Wen and PM Lee will be held in Singapore in the second half of the year, and the JCBC has a full agenda covering many things. So all the points which Dr Teo and others have raised will be included. When I called on Premier Wen in Beijing, he also asked for the acceleration of the negotiation for a bilateral FTA within the framework of the ASEAN-China FTA. So I think we will follow up. When I met Secretary Li Keqiang in Liaoning, he asked for Singapore's strategic participation in the development of Changxing Island near Dalian and Yingkou, as part of their overall effort to rejuvenate China's Northeast. They want us to repeat Suzhou in the Northeast. But I do not think we should just replicate an old model because industrial parks are no longer so unique or special, but we should think of other ways to be helpful and to work on projects of cooperation that would benefit both sides. Singapore's links to China continue to grow strongly. Last year, bilateral trade reached S$53 billion, making Singapore China's largest trading partner in Southeast Asia. Dr Teo also asked for people-to-people links and I think these should be expanded. Just this morning, I received a request from a Buddhist organisation to write a message because even among the monks there is more "lai lai, wang wang" 来来往往 (exchanges) and we should encourage all such similar contacts. Mr Leong Horn Kee asked about our assessment of cross-straits relations.”
“President Nathan will be making a state visit to Australia next week. 1.15 pm China Let me move on to China, which interests many MPs today. Let me give a broad summary on the current situation. As Dr Ong Chit Chung and Mr Leong Horn Kee pointed out, the PRC Ambassador here said recently in a media interview that ties between Singapore and China have been fully normalised after the setback last year. I agree with Ambassador Zhang that our bilateral relations are back on track. We now have a better understanding of each other's core interests and this has laid a strong foundation for building an even stronger relationship in the future. Dr Teo Ho Pin asked what initiatives are being taken by the Government to further strengthen bilateral ties with China. I had a good visit to China just before Chinese New Year. I had lunch with Foreign Minister Li Zhaoxing and called on Premier Wen Jiabao. I also called on my old colleague Minister Bo Xi Lai, who is now in the Commerce Ministry. Before that I visited Liaoning where I was pleased to meet Party Secretary Li Keqiang whom I used to know when he was the First Secretary of the Chinese Communist Party Youth League. They were all warm and friendly. A series of high-level exchanges are being planned for this year. We are looking forward to the visit of the Chairman of the National People's Congress Wu Bangguo in May, and as you know Wu Bangguo ranks number two in the Standing Committee. PM Lee and other Singapore leaders will also be visiting China later this year.”
“Last year, ASEAN countries took a firm position with the EU that Myanmar could not be excluded from the Asia-Europe Meeting in Hanoi. We stood our ground and we succeeded. But subsequent developments in Yangon undermined our position. I hope that the ASEAN spirit of consultation and consensus will enable us to find a solution for next year. Unless the Myanmar authorities handle the situation carefully, ASEAN's credibility and cohesion would be jeopardised. The Foreign Ministers will be meeting in retreat next month in Cebu, Philippines, and I expect that they will be discussing this subject behind closed doors. US, Japan, Europe, Australia and New Zealand Mr Ravindran asked about our relations with the US and the EU. Our relations with the advanced countries are on the whole excellent. They remain the most important source of investment and knowledge for us. Our ties with the US are broad and deep, founded on common strategic interests and reflected in our extensive defence and economic cooperation. The FTA we concluded has raised our relationship to a new level. We work closely together in the war against terrorism. Our relations with Japan are also strong and multi-faceted. Japan remains a key source of investment and technology for Singapore and the rest of ASEAN. Our relations with the EU will be enhanced by the EU-Singapore Partnership and Cooperation Agreement which is currently being negotiated. As the EU gives more attention to Asia, Singapore's importance to Europe will grow. Our links to Australia and New Zealand have deep roots in history. As they become more and more a part of Asia, their links to Singapore become more valuable. Our economic interests in Australia are becoming quite substantial.”
“It is also important that the EAS should not be seen by the US, India, Europe and others to be an exclusive East Asian closed grouping because if it is perceived to be such a grouping, it will create all kinds of unnecessary problems for us. For these various reasons, Singapore supports the inclusion of India, Australia and New Zealand in the EAS. Their inclusion will keep ASEAN at the centre and put it beyond doubt that we are externally-oriented and inclusive in our deep construction. Myanmar Let me now, with a heavy heart, talk about Myanmar. I listened carefully to the points made by Mr Ravindran and Mr Tan Soo Khoon about Myanmar's chairmanship of ASEAN next year. We have a problem. Although we have not formally discussed this in ASEAN, I know that many of the Foreign Ministers in ASEAN worry about it. Syed Hamid and Pak Hassan Wirajuda have expressed their views openly; most of the others have not. Myanmar reconvened its National Convention on 17th February 2005. It is not yet clear what the way forward would be. And as Mr Tan Soo Khoon pointed out, Aung San Suu Kyi remains in detention. We do not want to interfere in the domestic affairs of other countries. We recognise that the domestic situation in Myanmar is complicated; there are many ethnic groups, there are insurgencies, there are private armies and, in the end, it is for the people of Myanmar themselves to decide on their own destiny. Unfortunately, the much-publicised Roadmap has no timeframe and therefore it is of limited utility and the good efforts of the UN to facilitate and advance the national reconciliation process in Myanmar have so far yielded very little. The reason why we are concerned is that what happens in Myanmar affects ASEAN as a whole and our relationship with our Dialogue Partners.”
“Mr Chay asked how Singapore's interests are being served in an ASEAN + 3 framework. Well, by linking ASEAN to Northeast Asia, for example, we benefit from their economic development. If you look at their economic weights, they are much bigger than we are. In fact, the collective GDP of ASEAN is only one-tenth that of Northeast Asia. So we should latch on to others, Northeast Asia, Japan, US, Europe, Australia and New Zealand in order to maximise the opportunities available for our own companies and individuals. But the key is to have a deep solidarity. Yes, from time to time there are problems. There are always bilateral problems between neighbours, just as we have issues with Malaysia and Indonesia. And Thailand has issues with Malaysia, Cambodia and Myanmar. And Vietnam has problems with others and so on. This is normal. This is part of state craft. So long as there is a deep sense of solidarity, and on major issues we stick together, then this construction of putting ASEAN as the hub in Asia can be achieved. And Singapore as a hub in ASEAN which is a hub in Asia, is the best possible world for us, which is why ASEAN's interests and our interests completely coincide. The East Asia Summit (EAS), to be held in KL at the end of the year, presents another opportunity for ASEAN to be the hub. But, as pointed out by Mr Ravindran and Ms Irene Ng, this is only provided we conceive the EAS well. If the EAS has a membership no different from that of ASEAN + 3, then it will weaken ASEAN. Proposals to have the EAS discuss the big issues leaving ASEAN + 3 to discuss the small issues will weaken ASEAN further.”
“I believe it will strengthen ASEAN, because when we watch these two countries loom larger and larger, there is a certain worry that if we do not act, we would be at a serious and severe disadvantage. If you look at ASEAN's history, it is always the external challenge which unites us. First, there was Soekarno in Indonesia, then the Cold War and the Indo-China War, then crises like SARS and the tsunami. And for the future, we must be able to carve out our own place in the sun. So I believe that the emergence of China and India will have a very good, positive effect on the ASEAN construction. Each of us by himself is too small to be treated on any basis of equality by the great powers. But united, we have got to be taken seriously. In the end, the key is not what we said or the agreements we sign but our economic competitiveness. At the last ASEAN Summit in Vientiane, the ASEAN 6 agreed to advance their integration in 11 priority sectors from 2010 to 2007. But I agree with Mr Tan Soo Khoon that a lot more needs to be done. Strategically, we should be patient, but tactically we should be impatient. We must also help the newer member states to catch up. Singapore has been giving technical assistance to new ASEAN member states through the Initiative for ASEAN Integration. Singapore has been playing an active role in strengthening ASEAN's links to all the major powers. All the FTAs that we negotiate with the major powers have this as a long-term objective. ASEAN's Dialogue Partnerships, the ASEAN + mechanisms and the ASEAN Regional Forum were all founded on this principle: to put ASEAN at the centre, to make it the "hub" so that from here, there are many "spokes" to the wider region and beyond.”
“So, in this new Asia, which is an opportunity and also a challenge that is being watched closely by Europe and America, we are trying to create a new architecture which best maximises the life chances for all of us in ASEAN. What are our strategies? We are 10 countries, very different from each other, disparate, but situated between the two great civilisational areas of East Asia and South Asia. Historically, we received influences from both. We threaten nobody and therefore we can be friends with everybody. Our strategy is to put ourselves at the centre, so that others who want to deal with each other come through us. Because the climate here is warm and balmy, and the culture is cosmopolitan, people can interact freely and in an informal way. Take, for example, the relations among the three Northeast Asian countries of China, Korea and Japan - all Confucian societies, eyeing each other suspiciously, having relations which are tense and formal. There is no regular forum where their leaders meet, except when they come down to our summit meetings - ASEAN + 1, ASEAN + 3. In recent years, they have institutionalised the + 3 Breakfast Meeting on the side where the three leaders meet in our "house". We have good relations with North America, the Sub-continent, Australia and New Zealand. That is what we must always try to have because the greater the number of major powers in our house, the more comfortable our lives will be, the greater will be the options available to each and every one of us. Mr Hawazi Daipi spoke of the increasing economic competition from China and India and its impact on ASEAN. Will it weaken ASEAN or will it strengthen ASEAN?”