MINISTRY OF FOREIGN AFFAIRS

In the 1980s it will become more obvious that -our domestic political and economic developments cannot be divorced from international politics.

Following the invasion of Kampuchea, Singapore's foreign policy has been one of concerted action with our ASEAN partners. In 1979, ASEAN countries, at the United Nations, proved their ability to mobilise a majority of world opinion to support them on this question. In 1980, we enhanced this support. In the economic field, ASEAN dialogues with our major trading partners have continued. This framework of cooperation and goodwill has been invaluable in persuading our major trading partners to liberalise their trade policies and to encourage a freer flow of investment. This regional approach has made for a more effective foreign policy than if we had acted on our own. This applies to each of the ASEAN five.

ASEAN is taken seriously by friends and adversaries. The world is aware that ASEAN does make an impact. Even countries which had attacked ASEAN or been critical of it, like the Soviet Union and, formerly, the People's Republic of China, are varying their attitudes towards ASEAN.

In the 1980s, Singapore and ASEAN will face problems in two areas. The global economy will suffer from the legacies of the 1970s. There will be growing unemployment in the industrialised countries where our markets lie. We must expect even more stringent measures by some of them as they act to put their and the global economy right. We, together with ASEAN, will have to ensure that our legitimate economic interests are not ignored.

In the political field, the declared objective of communist powers remains that of inciting communist revolutions everywhere. We must expect them to persist in stirring up trouble. In Southeast Asia, the revolution will be projected through proxies. Vietnam, despite an ailing economy, still pursues its policy of militarisation, through Soviet mili- tary aid. Today Vietnam has some 2.3 million men under arms. We should be under no illusion that this is purely for defensive purposes.

We can meet these challenges through collective action with others who, like us, are convinced that this communist challenge can be frustrated.

The coming decade holds many unpredictable crises. So long as we concentrate on fundamental principles to meet realities, however unpleasant, Singapore will ride through what looks like the most turbulent post-war decade.

S. DHANABALAN Minister for Foreign Affairs