Wednesday, August 26, 2009

When the pursuit of prosperity crosses borders

Business Times - 26 Aug 2009

THERE will be no end to people pursuing two main things: wealth and prosperity. These are pursued by Singapore too. One of Singapore main achievements is economic.

The socio-economic status of the city state with a population of almost four million is on par with that of the world's richest countries. Following its separation from Malaysia that saddened Lee Kuan Yew, the country nursed the ambition of becoming a manufacturing hub, and subsequently became a centre for the service sector.

Processing of permits, service and prowess in attracting investors and tourists largely guide them in their every policy and action. Education is promoted - in fact, subsidies are granted to churn out intelligent and skilled citizens. Nationalism and self-defence are other aspects that get enhanced too, including national service and campaigns aimed at inculcating national pride. It has among the most sophisticated weapons in the region. Singapore is one of the respected countries that could not be ignored in terms of military might.

Like it or not, Singapore is in fact one of the countries that Indonesia depends on while Indonesians enjoy visiting it. Indonesians make up the largest number of international visitors to Singapore. When they make trips to various parts of the world, most Indonesians fly Singapore Airlines.

Singapore is also the transit point for imports, exports and other socioeconomic activities. It is also the business capital and hub for the region which includes Indonesia.

The problem that crops up is that Singapore's comprehensive and clear policy attaches importance to its own interest. This is only logical, and all countries do likewise. No matter how harsh the criticism and strong the hatred towards Singapore, it enjoys sovereignty.

However, if its policy overlaps with another country's, problems at times break out. Apart from Malaysia, Indonesia becomes the 'victim' here.

Singapore's arguments are also strong with its anticipatory, visionary and tactical policy, if not to say rather 'cunning'. Which country is not tactical or, say, 'cunning' when it concerns international relations?

In this context of being cunning, Indonesia needs to understand, and do the same. However, Indonesia is clearly way behind and loses out here.

This may be noticed, for instance, when Indonesia wishes to get its corrupt citizens 'hiding' in Singapore extradited. To conclude an extradition treaty, Singapore wants it to be complemented with a Defence Cooperation Agreement (DCA) which essentially allows it to conduct military training in Indonesian territory with a relatively free hand.

It is here that problems arise, because it involves sovereignty. In other words, the extradition treaty must be complemented with the DCA. The oddity lies with the Indonesian side. And, after a process that was not made known to the public, the extradition treaty and DCA were inked in Bali.

Subsequently, there were protests in parliament that declined to ratify the agreements. What did Singapore have to say? 'After the agreements were signed, came the objections. In fact, after the signing, we partied and even had karaoke,' said Singapore Foreign Minister George Yeo.

Blame game

The agreements stalled, with Singapore putting the 'blame' more on Indonesia. However, Singapore Prime Minister Lee Hsien Loong said: 'Singapore made a new proposal for the agreements to be restored.' However, Singapore insists on treating the extradition treaty and DCA as a package. 'However, Indonesia chose to stand firm to this issue,' said Mr Lee.

Apparently, the ball is now in Indonesia's court. And the question is how could Indonesia be unaware of what was happening? How could Indonesia, or at least a handful of people, go through a process that ended with the extradition treaty and DCA? Does the old position still surface, ie whatever the government does is bound to have been approved by the People's Representative Council (DPR)? In drawing up the extradition treaty, which was most probably based on international law, must a certain degree of Indonesia's territorial 'sovereignty' be sacrificed?

The conclusion is: We are not ready and do not understand Singapore's tactical and comprehensive strategy.

The above editorial was published in Indonesia's Kompas on Aug 14

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