330 Fraser to Chifley

Cablegram 189 WELLINGTON, 26 November 194[8], 5.30 p.m.

IMMEDIATE SECRET

FOURTH SESSION ECAFE

Your 219 [1] (303 to C.R.O.) and C.R.O. 295 [2], repeated to New Zealand 244). Admission of Indonesia We agree that E.C.A.F.E. should avoid recurrence of political arguments as far as possible and should concentrate on economic problems facing it. At the same time it seems to us that it is desirable to avoid further postponement of decision on two applications for associate membership, if only for reason that direct participation of Indonesia in work of Commission, which has now reached the important stage, is desirable at earliest possible date. You will recall that New Zealand Delegate at ECOSOC stated that some decision would be necessary at Fourth Session of E.C.A.F.E.

2. We would naturally support any solution which was freely accepted by both parties but on present information we are not convinced that either of your proposals will be satisfactory.

Under terms of reference grant of consultative status to Republic would seem to involve decision on responsibility for international relations. Admission of observer without right to speak or vote, if it constitutes significant gesture, which we doubt, might carry implications in regard to separate authority of Republic.

3. In these circumstances we intend to submit to E.C.A.F.E.

resolution which after necessary recitals would admit Republic to associate membership 'without prejudice to political settlement in Indonesia and without expressing an opinion of any aspect of the situation in Indonesia under consideration in Security Council or elsewhere'. We feel satisfied that resolution which we have drafted, full text of which will be discussed with Australian and United Kingdom Delegations at Lapstone, should not affect in any way progress of negotiations between Netherlands and Republic which we earnestly hope will be carried to successful conclusion.

1 See notes 1 and 2 to Document 323.

2 Document 323.

[AA:A1838, 403/2/3/8]