INTERNAL AIRWAYS (NATIONALISATION)

Mr M. P. D. Nair asked the Minister for Communications and Works whether, in view of the declared policy of the Government, viz., the unification of Singapore and the Federation of Malaya, and of the belief of the Government in Socialism, the Government intends to bring the internal Airways system under public ownership; and whether this matter will be brought up for consideration by the Federation of Malaya Government and the Joint Co-ordination Committee at an early date.

Mr Francis Thomas: The agreement entered into between the Governments of Singapore and the Federation and the Malayan Airways provides that on or before the 30th of April, 1956, the Governments shall either conclude a mutual agreement with the Company for the renewal of the agreement or its replacement by a new one upon agreed terms and conditions, or give notice to the Company that they do not propose to extend the agreement after its expiration on the 30th of April, 1957. The agreement also provides that neither Government will take any decision affecting the duration of the agreement without the prior concurrence of the other Government. And I can assure the hon. Member that it is proposed to discuss with the Federation Government at an early date the future of the internal Airways system of the Malay Peninsula.