23. Disagreements over the terms Malaysia wanted: Singapore wanted: Details of the Common Market to be worked out after the signing of the Malaysia Agreement Inclusion of Common Market terms in the Malaysia Agreement A $50 million grant from Singapore for the development of Sabah and Sarawak To provide a loan of $150 million for the development of the two territories instead of giving a grant To collect revenue in Singapore and then give Singapore what is needed to run the state To collect its own revenue and then send an agreed sum of money each year to Kuala Lumpur as taxes
24.
25. The final agreement Agreed terms The Common Market would be established in stages Singapore would provide $150 million loan for the development of Sarawak and Sabah Singapore would collect its own revenue and pay Kuala Lumpur an agreed sum of money as taxes .
30. Political: Differences in political views Malaysia Singapore Political parties were formed along racial lines. (E.g, The Alliance Party) The main aim of each party was to look after the interests of its own community Political parties were multi-racial in nature. They did not aim to promote the interests of one community over another. Special rights were given to the Malays to help them improve their standard of living. No special rights were given to Malays. The Singapore government believed that every citizen, regardless of race, should have the same opportunity to succeed. Central government in KL expected Singapore to follow its lead. Singapore hoped that Malaysian Government would move towards a mult-racial approach.
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