Blog Topic 6

How far do you agree that the need to set up a common market was the most important reason for merger between Singapore and Malaya.

I agree to quite a large extent. Firstly, Singapore was going through quite a tough period of time as it had just gained Independence. The PAP was worried as Singapore lacked natural resources and was facing a declining entrepot trade and a rising population which came with a demand for jobs. Plus, the Malayan government had also introduced import and export tariffs on goods that were trade between Singapore and Malaya, which would have quite an impact on Singapore and its people.

The PAP government thought that by merging with Malaya, it would bring about a rapid economic growth. Of course, we also hoped that a Common Market be set up due to the merge. With a Common Market, people would be able buy and sell goods freely without having to pay taxes. This would increase trade, expand industries and create more jobs for the people of Singapore.

Of course, there were other reasons for merger, but at that time, Singapore needed an economic boost, and a Common Market was the solution. So in conclusion, the need to set up a Common Market was one of the important reasons for merger.