Malays and Muslims in Singapore were being increasingly incited by the Federal Government's accusations that the PAP was mistreating the Malays. Numerous racial riots resulted, and curfews were frequently imposed to restore order. The external political situation was also tense at the time, with Indonesia actively against the establishment of the Federation of Malaysia. PresidentSukarno of Indonesia declared a state of Konfrontasi (Confrontation) against Malaysia and initiated military and other actions against the new nation, including the bombing of MacDonald House in Singapore in March 1965 by Indonesian commandos which killed three people.[4]Indonesia also conducted seditious activities to provoke the Malays against the Chinese.[5] One of the more notorious riots was the 1964 race riots that took place on Prophet Muhammad's birthday on 21 July, near Kallang Gasworks; twenty-three were killed and hundreds injured. More riots broke out in September 1964. The price of food skyrocketed when the transport system was disrupted during this period of unrest, causing further hardship. The Singapore Government later named 21 July each year as Racial Harmony Day.


The Federal Government of Malaysia, dominated by the United Malays National Organisation(UMNO), was concerned that as long as Singapore remained in the Federation, the bumiputerapolicy of affirmative action for Malays and the indigenous population would be undermined and therefore run counter to its agenda of addressing economic disparities between racial groups. One of the major concerns was that the PAP continued to ignore these disparities in their repeated cry for a "Malaysian Malaysia" – the equal treatment of all races in Malaysia by the government which should serve Malaysian citizens without any regard for the economic conditions of any particular race. Another contributor was the fear that the economic dominance of Singapore's port would inevitably shift political power away from Kuala Lumpur in time, should Singapore remain in the Federation.

In July and September 1964, there were racial riots which led to damage, serious injuries and loss of lives in Singapore. On the economic front, the common market of Peninsular Malaysia and Singapore did not materialise.

In November 1964, the then Malaysian Finance Minister Tan Siew Sin proposed raising an extra RM147 million in taxes.

The proposed turnover and payroll tax would seriously affect businessmen in Singapore. The Malaysian Finance Minister also wanted to increase the contribution of Singapore to the federal government from 40 to 60 per cent of its revenue.

In addition, there were increasing tension and differences between the People's Action Party leaders in Singapore and the leaders in the Malaysian central government.

According to Ms Tan Siok Sun's biography, Malaysian Prime Minister Tunku Abdul Rahman wrote to Dr Goh Keng Swee and offered Singapore full autonomy, except in foreign and defence matters, in exchange for Singapore giving up its seats in the Federal Parliament.

Singapore Prime Minister Lee was involved in a series of discussions with the Malaysian leaders but "all these (negotiations) came to nought", as noted by Dr Goh. Dr Goh recalled: "In the early days there were a lot of discussions about changing the terms of Malaysia by the Prime Minister, Rajaratnam and Toh Chin Chye. It got nowhere."

On June 6, 1965 Mr Lee advocated a "Malaysian Malaysia". This upset certain Malaysian Umno leaders.

Ms Tan wrote that during this critical discussion, Tun Razak commented: "We can't go on like this."

The drafting of the agreement of separation of Singapore from Malaysia was started in July 1965, at the instruction of Mr Lee. The Independence of Singapore Agreement 1965 was signed and dated Aug 7.

On Aug 9, 1965, at 10am, the Malaysian Parliament reconvened and Prime Minister Tunku Abdul Rahman explained the nature and details of the Separation. There was a vote on the Constitution of Malaysia (Singapore Amendment) Bill 1965 to allow Singapore to separate from the Malaysian federation. It was unanimous, 126-0.

Singapore became an independent and sovereign state.

Link: https://goo.gl/6PESxa

Singapore saw no economic advantage in merger - the reason why we joined Malaysia in the first place, believing a small island state could not survive without a hinterland. For example, the Economic Development Board had to seek permission from Kuala Lumpur to award pioneer certificates to prospective investors here, entitling them to tax-free status for five to 10 years. In the two years we were in Malaysia, only two out of 69 such applications were approved, and one came with so many restrictions it amounted to a rejection.

Link: http://www.straitstimes.com/opinion/singapore-could-have-become-one-country-two-systems-within-malaysia-not-sovereign-country

In November 1964, the then Malaysian Finance Minister Tan Siew Sin proposed raising an extra RM147 million in taxes.

This could have led to Singapore taxpayers contributing more than 35 per cent towards the federal budget, although the Singapore population comprised only about 17 per cent of the whole population in Malaysia at that time.

Furthermore, the proposed turnover and payroll tax would seriously affect businessmen in Singapore. The Malaysian Finance Minister also wanted to increase the contribution of Singapore to the federal government from 40 to 60 per cent of its revenue.

In addition, there were increasing tension and differences between the People's Action Party leaders in Singapore and the leaders in the Malaysian central government.

Source: http://www.straitstimes.com/opinion/behind-the-scenes-what-led-to-separation-in-1965

There should be cartoons but they are in a book and I don't think we will be able to get our hands on it.

Right from the onset, the merger was doomed.The Malayans under the leadership of Tengku Abdul Rahman demanded that Singapore Prime Minister Lee Kuan Yew relinquished his status to be relegated to that of Chief Minister.But the latter correctly refused to comply simply because they had recently obtained self-governance

 Due to Malaysia refusing to cooperate with Singapore and hindering their potential to economically advancement. The Malaysian Government wanted to collect 40% of annual revenue from Singapore, which compromised of 17% of the population of Malaysia. The common market was also a failure due to the fact that Singapore could not industrialize

In November 1964, the then Malaysian Finance Minister Tan Siew Sin proposed raising an extra RM147 million in taxes.

This could have led to Singapore taxpayers contributing more than 35 per cent towards the federal budget, although the Singapore population comprised only about 17 per cent of the whole population in Malaysia at that time.

Furthermore, the proposed turnover and payroll tax would seriously affect businessmen in Singapore. The Malaysian Finance Minister also wanted to increase the contribution of Singapore to the federal government from 40 to 60 per cent of its revenue.

In addition, there were increasing tension and differences between the People's Action Party leaders in Singapore and the leaders in the Malaysian central government.

According to Ms Tan Siok Sun's biography, Goh Keng Swee: A Portrait, on Jan 22, 1965, Malaysian Prime Minister Tunku Abdul Rahman wrote to Dr Goh Keng Swee and offered Singapore full autonomy, except in foreign and defence matters, in exchange for Singapore giving up its seats in the Federal Parliament.

Singapore Prime Minister Lee was involved in a series of discussions with the Malaysian leaders but "all these (negotiations) came to nought", as noted by Dr Goh. Dr Goh recalled, during his interview with Dr Melanie Chew in the book Leaders Of Singapore: "In the early days there were a lot of discussions about changing the terms of Malaysia by the Prime Minister, Rajaratnam and Toh Chin Chye. It got nowhere."

On June 6, 1965, there was the Malaysian Solidarity Convention at the Singapore National Theatre, where Mr Lee advocated a "Malaysian Malaysia". This upset certain Malaysian Umno leaders.

Around July 13, Malaysian Deputy Prime Minister Tun Razak asked Dr Goh, who was then Singapore's Minister for Finance, to visit him in his Kuala Lumpur home. The then Malaysian Minister for Home Affairs Ismail Abdul Rahman was also present at that meeting.

Ms Tan wrote that during this critical discussion, Tun Razak commented: "We can't go on like this."

Dr Goh said that when he and Mr Lee first proposed the merger, they did not expect the situation with Malaysia to deteriorate to this level, "so the best thing would be to call it quits; we should go our separate ways". Dr Goh recalled: "I just want to get out. I could see no future in it; the political cost was dreadful and the economic benefits, well, didn't exist."

Dr Goh proposed: "Well, we leave Malaysia, become an independent state, and you will be relieved of all these troubles, and we would also be relieved of troubles from you. All these tensions that have built up, communal tensions, will all be over. We are on our own, you are on your own."

According to Dr Chew, Dr Goh was recorded as saying: "Now on the 20th of July 1965, I met Tun Razak and Dr Ismail. Now this is the 20th July 1965. I persuaded him that the only way out was for Singapore to secede completely."

Dr Goh stated: "You want to get Singapore out and it must be done very quickly. And very quietly, and presented as fait accompli."

Dr Goh commented that Tun Razak and Dr Ismail agreed with the separation. "In fact, they themselves had come to the conclusion that Singapore must get out. The question was how to get Singapore out," said Dr Goh.

In that oral history interview, Dr Chew remarked: "So the secession of Singapore was well planned by you and Tun Razak! It was not foisted on Singapore."

Dr Goh responded: "No, it was not."

Mr Lee stated in his memoirs, The Singapore Story: "Keng Swee came back to report that Razak wanted a total hiving-off. Razak had made two points: first, he wanted Keng Swee to confirm I was in favour. Keng Swee said, 'Yes, provided it is done quickly before Lee's commitment and involvement in the Solidarity Convention makes it impossible for him to get out.' Ismail accepted this point. Razak appeared both relieved and incredulous because, according to Keng Swee, he half-expected me to reject the idea. Keng Swee said I was realistic enough to see that a collision was imminent and that the consequences were incalculable."

The state and federal governments also had disagreements on the economic front. Despite an earlier agreement to establish a common market, Singapore continued to face restrictions when trading with the rest of Malaysia. In retaliation, Singapore did not extend to Sabah and Sarawak the full extent of the loans agreed to for economic development of the two eastern states. The situation escalated to such an intensity that talks soon broke down and abusive speeches and writing became rife on both sides. UMNO extremists called for the arrest of Lee Kuan Yew.

But merger turned out to be ill-conceived. The root cause triggering the chain of events which culminated in separation was the diametrically opposing visions of the federal and Singapore leaders. Lee and his party advocated a non-communal, multi-racial Malaysia with equal treatment of all races while the United Malays National Organisation (UMNO) leaders swore by Malay hegemony with affirmative action and special privileges for Malays.

The uneasy partnership and lack of trust between the leaders on both sides of the Causeway was evident right from the start. They disagreed over revenue contribution, taxes and development loans. Singapore was frustrated by the lack of a common market and pioneer status for its industries.

Political tensions between Kuala Lumpur and Singapore escalated as each got involved in the politics of the other. UMNO fielded candidates in Singapore’s September 1963 elections, while the PAP put up a challenge in the Malaysian general election in April 1964.

A war of words erupted in the hustings, the press and the federal parliament stoking communal tension and raw emotionalism. The incendiary rhetoric turned into blood on the streets when two race riots broke out on the island in 1964. The carnage: 23 killed and 454 injured in July and 13 killed and 106 injured in September.

Racial Politics – Effects of the anti–PAP campaign UMNO embarked on an anti-PAP campaign using the Malay press, Utusan Melayu. Criticised PAP for not looking after interests of the Malays in Singapore. Meetings were held between PAP and Malay reps regarding education, employment and housing for Malays. Tension grew as matters did not improve. This led to the Separation of 7 Aug 1965 Tunku Abdul Rahman announced that Malaysia will “expel” Singapore. 9 Aug 1965 Lee Kuan Yew announced attainment of full independence.

In November 1964, Malaysian Finance Minister Tan Siew Sin proposed raising an extra RM147 million in taxes.

This could have led to Singapore taxpayers contributing more than 35 per cent towards the federal budget, although the Singapore population comprised only about 17 per cent of the whole population in Malaysia at that time.

Furthermore, the proposed turnover and payroll tax would seriously affect businessmen in Singapore. The Malaysian Finance Minister also wanted to increase the contribution of Singapore to the federal government from 40 to 60 per cent of its revenue.

In addition, there were increasing tension and differences between the People's Action Party leaders in Singapore and the leaders in the Malaysian central government.

According to Ms Tan Siok Sun's biography, Goh Keng Swee: A Portrait, on Jan 22, 1965, Malaysian Prime Minister Tunku Abdul Rahman wrote to Dr Goh Keng Swee and offered Singapore full autonomy, except in foreign and defence matters, in exchange for Singapore giving up its seats in the Federal Parliament.

Singapore Prime Minister Lee was involved in a series of discussions with the Malaysian leaders but "all these (negotiations) came to nought", as noted by Dr Goh. Dr Goh recalled, during his interview with Dr Melanie Chew in the book Leaders Of Singapore: "In the early days there were a lot of discussions about changing the terms of Malaysia by the Prime Minister, Rajaratnam and Toh Chin Chye. It got nowhere."

On June 6, 1965, there was the Malaysian Solidarity Convention at the Singapore National Theatre, where Mr Lee advocated a "Malaysian Malaysia". This upset certain Malaysian Umno leaders.

Around July 13, Malaysian Deputy Prime Minister Tun Razak asked Dr Goh, who was then Singapore's Minister for Finance, to visit him in his Kuala Lumpur home. The then Malaysian Minister for Home Affairs Ismail Abdul Rahman was also present at that meeting.

Ms Tan wrote that during this critical discussion, Tun Razak commented: "We can't go on like this."

In the final recorded words of Mr Lee at the Aug 9, 1965, press conference at the Broadcasting House: "We unite regardless of race, language, religion, culture."

As we Singaporeans remember our history and celebrate our nation's 50th birthday, let us build on our legacy, plan for the future and work together as one united people, "so as to achieve happiness, prosperity and progress for our nation".

(Source: http://www.straitstimes.com/opinion/behind-the-scenes-what-led-to-separation-in-1965)

red on 21 July 1964 during Prophet Muhammad’s birthday

celebrations. Amidst the procession that was made up of an estimated 20,000

Muslims, there was an outbreak of violence between the Malays and Chinese (Lau,

2003, p. 162). During the event itself, it wa

s observed that Yusof Ishak’s opening

speech that called on peace and goodwill differed from the other politically charged

speeches (Conceicao, 2007, p. 80).

Island wide news of strife spread quickly in tandem with the spread of

communal violence. Four were killed and 178 injured on the first day. The casualty

count snowballed into 23 deaths and 460 injured (Lai, 2004, p. 47). Out of 3,568

 persons arrested, 715 were charged in court while 945 were placed in preventive

detention (Singapore: The encyclopedia, 2006, p. 437).

Singapore became an independent republic on 9 August 1965. Economically,

there were delays in setting up common market, imposition of new taxes on Singapore

and attempts to increase Singapore’s contribution to the central government.

Kuala

Lumpur saw Singapore as an economic rival because the central government wanted

to protect Malaysian industries thus hindered Singapore’s efforts to industrialise. KL

 proposed Singapore to increase its contribution from 40% to 60% which would

cripple Si

ngapore’s economy.

Politically, there was rivalry, racial politics and the Malaysian Malaysia

campaign was not without its effects. In the 1963 State Election in Singapore, PAP

won 37 out of 51 seats contested while the Singapore Alliance (UMNO, MCA, MIC)

did not win any seats which upset the Alliance leaders in KL. In the 1964 Federal

Election in Malaysia, PAP took part with the aim to build a Malaysia not based on

racial lines, equal opportunities for all which offended the Alliance leaders who felt it

challenged the rights of the Malays.

The union, however, was unstable due to distrust and ideological differences between leaders of the State of Singapore and the federal government of Malaysia. Such issues resulted in frequent disagreements relating to economics, finance and politics. The United Malays National Organisation (UMNO), which was the political party in power in the federal government, saw the participation of the Singapore-based People's Action Party (PAP) in the Malaysian general election of 1964 as a threat to its Malay-based political system. There were also major racial riots that year involving the majority Chinese community and the Malay community in Singapore. During a 1965 Singaporean by-election, UMNO threw its support behind the opposition Barisan Sosialis candidate. In 1965, Malaysian Prime Minister Tunku Abdul Rahman decided upon the expulsion of Singapore from the Federation, leading to the independence of Singapore on 9 August 1965.

 Records show it was Malaysian Prime Minister Tunku Abdul Rahman who made the tough decision that the two go their separate ways.
Fifty years after Singapore’s separation from Malaysia the question is still moot. A review of the events leading to the separation seeks to throw more light on the conundrum.

Singapore separated from Malaysia on 9 August 1965 by a constitutional fiat that formalised an agreed settlement between the state of Singapore and the federal government. The act of separation was effected by the Malaysian Parliament adopting an Amendment to the Malaysian Constitution and ratifying an Agreement on Separation signed by the governments of Singapore and Kuala Lumpur. It was put into action by a Proclamation of Independence of Singapore by Prime Minister Lee Kuan Yew that was read over Radio Singapore.

Tunku’s surgical solution

That agreement was negotiated by leading members of the two governments to bring about an amicable solution to an increasingly bitter and intractable conflict between their ruling parties. However it was Malaysian Prime Minister Tunku Abdul Rahman who initiated the move to “hive off” Singapore from Malaysia. As he explained at a press conference after the passage of the Separation Act: “It was my idea that Singapore should leave the federation and be independent. The differences between the state government of Singapore and the central government of Malaysia had become so acrimonious that I decided that it was best that Singapore went its own way. Otherwise there was no hope for peace.”
This confirms that Singapore was forced to leave Malaysia at the Tunku’s behest. It was not Singapore that sought to secede or initiated the negotiation to separate from Malaysia, as some scholars seek to argue.

Indeed in the months leading to its constitutional eviction, Singapore had been warned by Malaysian leaders against seeking secession or a partition of Malaysia between the former states of Malaya and the new states – Singapore, Sarawak and Sabah, as well as Penang.

That partition had been proposed by Singapore as an alternative constitutional arrangement for a looser confederation. That proposal had developed from the call made by political parties grouped in the Malaysian Solidarity Convention for a “Malaysian Malaysia” that would ensure equality among all the states and ethnic groups in the country.

This dual demand infuriated the ruling Alliance in Malaysia, especially the dominant United Malays National Organisation (UMNO). Sections of the ruling parties called for strong retaliation against Singapore’s ruling People’s Action Party (PAP) which they accused of treason for seeking secession. Some “ultra nationalists” called for the arrest of PM Lee and even imposing direct central rule on Singapore.

As the conflict of words raged and Malay passions were roused, Malaysia’s senior leaders feared that violence might break out leading to racial clashes across the whole country. It was against this deteriorating political situation that the Tunku began to consider a surgical solution to this intractable problem, to cut the Gordian knot, as it were.

Decision post-London

The Tunku had left for London in mid-June for a Commonwealth Prime Ministers conference. In London, the Tunku was hospitalised with shingles and he thought long and hard about the problems with Singapore. His conclusion: “There would be no end to the bickering with Singapore except perhaps if Mr Lee Kuan Yew is made Prime Minister in the real sense of the word.”

Indeed the Tunku asked Minister Lim Kim San, who had gone to London with him, to tell Mr Lee (‘your PM’) “he can attend the next Prime Ministers Conference on his own”. That was the first indication by the Tunku that he would give Singapore independence, Mr Lim later said, though he missed the implication of the Tunku’s cryptic remark at the time.

The Tunku wrote to his Deputy, Tun Abdul Razak, telling him how he felt about the relations with Singapore and to talk things over with Mr Lee. Razak met Lee on 29 June but found it impossible to reach any meeting of minds. In Lee’s recounting of the meeting in his memoirs The Singapore Story, Razak went back on his previous agreement to consider a looser arrangement for Singapore and insisted on total capitulation in political activity, defence, foreign affairs, security and finance.

Malays and Muslims in Singapore were being increasingly incited by the Federal Government's accusations that the PAP was mistreating the Malays. Numerous racial riots resulted, and curfews were frequently imposed to restore order. The external political situation was also tense at the time, with Indonesia actively against the establishment of the Federation of Malaysia. President Sukarno of Indonesia declared a state of Konfrontasi (Confrontation) against Malaysia and initiated military and other actions against the new nation, including the bombing of MacDonald House in Singapore in March 1965 by Indonesian commandos which killed three people. Indonesia also conducted seditious activities to provoke the Malays against the Chinese. One of the more notorious riots was the 1964 race riots that took place on Prophet Muhammad's birthday on 21 July, near Kallang Gasworks; twenty-three were killed and hundreds injured. More riots broke out in September 1964. The price of food skyrocketed when the transport system was disrupted during this period of unrest, causing further hardship.

The Federal Government of Malaysia, dominated by the United Malays National Organisation (UMNO), was concerned that as long as Singapore remained in the Federation, the bumiputera policy of affirmative action for Malays and the indigenous population would be undermined and therefore run counter to its agenda of addressing economic disparities between racial groups. One of the major concerns was that the PAP continued to ignore these disparities in their repeated cry for a "Malaysian Malaysia" – the equal treatment of all races in Malaysia by the government which should serve Malaysian citizens without any regard for the economic conditions of any particular race. Another contributor was the fear that the economic dominance of Singapore's port would inevitably shift political power away from Kuala Lumpur in time, should Singapore remain in the Federation.

The state and federal governments also had disagreements on the economic front. Despite an earlier agreement to establish a common market, Singapore continued to face restrictions when trading with the rest of Malaysia. In retaliation, Singapore did not extend to Sabah and Sarawak the full extent of the loans agreed to for economic development of the two eastern states. The situation escalated to such an intensity that talks soon broke down and abusive speeches and writing became rife on both sides. UMNO extremists called for the arrest of Lee Kuan Yew.

Economics ended up being a massive part of the split as well though. The United Malays National Organisation was afraid that Singapore's economic importance would eventually cause it to shift power from Kuala Lumpur within the federation, and a number of disagreements on how much of Singapore's income would be transferred to the central government caused a number of restrictions on trade with other Federation members to remain in place despite the promise of a free market, against which Singapore retaliated by refusing to honor in full the loans it had promised to Sabah and Sarawak, which served to increase tensions. This all led to Premier Tunku Abdul Rahman to call for vote on the expulsion of Singapore from the Federation, which it did on a vote of 126-0 in favor (Singapore's 2 delegates were not present), turning Singapore into the Republic it is today.