ABSTRACT
Probably the most fortuitous event in Singapore’s recent history was its separation from Malaysia in 1965 to become a fully independent city-state. Given internal self-government by Great Britain in 1959, Singapore then became part of the newly formed Malaysia in 1963. It was a union not meant to be, however, because of fundamental differences with the regime in Kuala Lumpur; by 1965, separation was necessary. Since that time, Singapore has prospered at a more rapid rate than it would have by remaining a small part of Malaysia. Strategically located to be an influential entrepôt of foreign trade, it has in addition built up a strong industrial base and has experienced annual economic growth rates of around 10 percent per year—sometimes better, sometimes not quite that high—overall, one of the strongest economies in East Asia. Per capita gross domestic product (GDP) was $18,700 in 1993; Singapore is a net creditor state. Economic prosperity enables it to afford a respectable armed force for its own protection and, importantly, for the security of the sea-lanes in and near the critical Malacca Strait.
