Oleh/By		:	DATO' SERI DR. MAHATHIR BIN MOHAMAD 
Tempat/Venue 	: 	LONDON 
Tarikh/Date 	: 	22/07/87 
Tajuk/Title  	:	THE DINNER HOSTED BY THE BRITISH-
			MALAYSIAN SOCIETY 





 
    It  gives  me  great  pleasure  to  meet members of the
British-Malaysian Society tonight.  Your Society's  list  of
membership  is  most impressive.  A Society such as this can
certainly  play  a  key  role in further enhancing bilateral
relations  between our two countries.  I am pleased to learn
of the various activities undertaken by the  Society towards
this  direction  and  would  like  to  assure  you  that the
contribution that you have made is indeed appreciated by the
Malaysian Government.
2.   In  developing  bilateral  relations  the  role  of the
government  and  the  private sector are complementary.  The
quality  of  the  relationship, its breadth and depth, would
depend considerably on the private sector of  both  sides if
it is not to become too formal.  After all it is the private
sector which  provides  the  people  to  people  contact  so
essential towards upgrading relations between two countries.
3.   The  quality  of  the  relationship  between  countries
cannot  be  taken  for  granted.   History,  that  great but
frequently  ignored  teacher,   tells  us  that  yesterday's
friends  can  be  today's  foes  and  today's  foes  can  be
tomorrow's friends.  If  we value  friendship then we should
all work  to develop and sustain it. When the private sector
has a good content of personal relationship, Governments can
be easily influenced by  it.   I  remember when relationship
between   Malaysia and Britain was strained some years back,
it is the non-Governmental people, in particular the members
of your   society,  who  paved the way towards an acceptable
reconciliation.
4.   It is imperative, therefore, that the British-Malaysian
Society maintain its interest and love for Malaysia in order
that  Malaysia/Britain   relationship   should   always   be
friendly.    You  are  what  the  Americans  call,  a lobby.
Happily you don't require to be paid for your services.  You
do  it out of genuine concern and friendship.  And you  are,
of course,  the  more  effective because of that.   Malaysia
is grateful and appreciative.
Ladies and Gentlemen,
5.   Let me say something about Malaysia.   We are  what  we
are  partly  because  of the contribution by the British.  I
will not pretend that there was such a country  as  Malaysia
before  the  British  came.    We  were separate small Malay
Sultanates which had a tendency to  break  up  into  smaller
states  because  the  Sultans gave away chunks of land which
then became Malay states.   The British created  Malaya  and
created the preconditions for Malaysia.
6.   The   Democratic  form  of  Government,  Constitutional
Monarchy,  the  separation  of  the  Legislative  from   the
Executive  and  the Judicial branches was also British.  The
Civil Service system was pioneered by British officers.  The
rubber  industry  and  the expansion of tin mining also took
place during the British colonial period.
7.   But  the  British were also responsible for the biggest
headache that Malaysia faces today -- race relations.    The
British  brought  in Chinese and Indians without thinking at
all about the effect on the Malays.   Today we  are  saddled
with the problem of managing three separate races with three
separate  incompatible  cultures  and  religions.   If today
these people are not at each others throat it  is  certainly
not due to any help from others.
8.   The  British  left us this problem.  We are independent
now and we really do not expect to be  helped  in  resolving
our  race  problems.    But it is disappointing that certain
sections of the British society refuse to see how successful
we  have  been   at   managing  race relations in  Malaysia.
Instead,  they  have  gone out of their way to undermine our
efforts.
9.   We wish to be friends with the British.    The  British
Government and certainly the British-Malaysian Society are a
great  help.   But  we  do get irritated by what seems to be
deliberate  efforts   to    misunderstand    Malaysia.   One
influential opinion maker  in Britain derided our production
of commodities  which  it  says nobody wants.  But this same
institution   also   condemns    Malaysia's    efforts    to
industrialise. If you  don't  produce  commodities  and  you
don't industrialise, then what do we do?.
10.  I say the failure to understand is  deliberate  because
even  someone  who  is not an old Malaysia-hand would notice
the progress that  Malaysia  has  made  since  independence.
Economic  growth attained an average of 6% per annum.  Clean
elections, in which it is possible for opposition candidates
to win, are held at regular intervals.  Racial tolerance and
harmony are well above average.   Development is  rapid  and
well  spread  out.    Per capita income rose from about $300
ringgit in the year of independence to $4,000  ringgit  now.
Indeed  the whole appearance of the country has changed that
many find it difficult to classify Malaysia as a  developing
country - and consequently charge us higher interest rates.
11.  But  none  of  these  positive aspects has received any
attention from the British media. This is fine. But if there
is  but  one negative aspect or happening, the world will be
told about it in vistavision.  We know it is not the British
Government.  We know it is not the majority of  the  British
people.  But the kind of unfair treatment of Malaysia cannot
but  sour  relationship.   We cannot do anything, of course.
Press freedom is the essence of democracy.  We must have  it
even if it destroys us.
Ladies and Gentlemen,
12.  Malaysia has progressed despite the myriads of problems
which  it  has  to  face.    And  Malaysia  will continue to
progress.  We are great believers in the market  economy  --
in free  trade.  Every  country  has  to  protect itself. We
accept that  too.   But the rich and the powerful should not
bully the poor and the weak.
13.  We believe strongly in interdependence.  No country can
be so self-sufficient that it can  isolate  itself,  neither
the  United  States nor Russia.   We have to trade with each
other.  To trade we have to have money to buy the  goods  we
need  or the luxuries.  The only way we can pay for these is
for us to be able  to  sell  our  produce  at  fair  prices.
Impoverishing a country does not help anyone.
14.  I  used  to  think  that  increasing  prosperity in the
developed countries cannot but enrich the poor  countries --
as  the  commodities  that  poor countries produce will find
better markets.  But now I know better.  It is possible  for
rich  countries  to  get  richer  by  forcing  the prices of
commodities down.  That is what is happening now.
15.  In  addition  rich  countries  meet  and  fiddle   with
currencies and  exchange rates.  The net result of commodity
and  currency  manipulation  is that some of our exports now
fetch   only  one-fourth  of their former prices.  With that
kind   of  earnings we are not likely to buy the products of
the   rich   countries.   On  the  other  hand  the   forced
depreciation of our currency has resulted in almost doubling
the local cost of our foreign debt.
Ladies and Gentlemen,
16.  As a society dedicated to the affairs  of  Britain  and
Malaysia,  I  am sure you would like to see the relationship
between the poor countries and the rich  be  productive  and
beneficial  to  both  sides.    During  the  early period of
Malaysia's  independence,  British-Malaysia  relations   was
good.  But quite early on, a policy of equidistance with all
countries  was  adopted by Malaysia.   Gradually Britain and
Malaysia drifted apart.
17.  The old relationship will never return.    But  neither
should  we  drift  further  apart.   There  is  a tremendous
reservoir  of  goodwill  in both countries.  It should be an
easy  matter  to  tap  this reservoir.  There are  bodies in
Malaysia   and  in  the  United Kingdom who   can  do  this.
Certainly the  British - Malaysian  Society  is one of them.
Then there are the  trade and industry organisations in both
countries.  Even the press can play a role, if it chooses to
do so.
18.  I look forward to a future where Malaysia  and  Britain
would    be   close   and   mutually   respecting   friends.
God-Willing, we will both gain by it.
Ladies and Gentlemen,
19.  Lastly,  I  would  like  to thank the British-Malaysian
Society for kindly holding this  dinner  and inviting me  to
partake  of  the  sumptuous  meal  as well as to speak on my
particular  perception  of British-Malaysia relations.  I do
hope  I  have  been  able  to  contribute  towards  a better
appreciation of Malaysia's views.  I pray that our relations
will be improved in the process.