C.M. Dispatch 16/47 SINGAPORE, 31 March 1947

SECRET

ECONOMIC COMMISSION FOR ASIA AND THE FAR EAST

I have the honour to inform you that the deliberations of the
Economic & Social Council of U.N.O. regarding the establishment of
an Economic Commission for Asia and the Far East have been
followed with keen interest in this country, and particularly by
His Majesty's Special Commissioner in South East Asia, Lord
Killearn, and his staff.

[matter omitted]

4. You will doubtless have already been informed of the course of
the negotiations which ensued in New York and which resulted in
the recommendation to establish an Economic Council for Asia and
the Far East. I shall therefore confine myself to commenting on
some implications of the formation of this Council and on the
attitude thereto of the British authorities in this area.

5. In the first place, the British, as you are aware, were
reluctant to see the formation of ECAFE and would have preferred
the proposal to be shelved. However, when it became apparent that
the proposal would receive sufficient support to ensure
establishment of the Commission, the British delegation was
instructed to give support. The British authorities feel that it
represents a dangerous threat to British authority and British
prestige in the Far East to give wide powers to a commission on
which Asiatic countries, and in particular India and China, are so
powerful. It will therefore probably be the aims of British policy
in this area to:-

(a) limit the activities of the ECAFE as far as possible; and
(b) exercise as much influence as possible over its deliberations
and actions.

6. With regard to (a), the British representatives on the Economic
and Social Council will endeavour to avoid too wide a charter
being given to ECAFE. With regard to (b), every effort will be
made to secure the maximum British influence in ECAFE. To this end
the desire as learned from discussions with the Special
Commissioner's staff is to establish the position of Lord
Killearn's organisation in Singapore as an organ of international
collaboration in South East Asia, on which ECAFE will need to
depend in its early activities both for information and machinery.

This is one of the most powerful reasons why the proposal for a
conference of South East Asian territories on social welfare is
being pushed forward so strongly by Lord Killearn. It is felt
that, the more active, efficient and useful the Special
Commissioner's organisation can become in the international
sphere, the greater will be the British influence on the
activities of ECAFE. That some measure of success has already been
achieved in this direction is evidenced by the unanimous approval
of the proposal for the social welfare conference referred to in
my Despatch No. 15/47.

7. The inclusion of Australia as a member of ECAFE has been most
warmly welcomed here. It is recognised that Australia has a most
powerful contribution to make, both in material resources and
experience, to the economic rehabilitation of the East, and
furthermore the British look to Australia for support on a body in
which they fear they may be hopelessly outnumbered by Asiatic
representatives.

8. In the absence of Lord Killearn, I have had several discussions
recently on this subject with Mr. Michael Wright, Deputy Special
Commissioner, who most strongly confirms this picture of local
British reaction to the formation of ECAFE. The speed with which a
decision was reached to establish ECAFE took everyone here by
surprise. It was not until advice of the actual decision was
received on March 10th that its imminence was appreciated. At that
stage, the Deputy Special Commissioner took steps to make
available to me all signals and other information he had on the
subject.

9. This will doubtless be one of the most important matters which
Lord Killearn will wish to discuss with you on his forthcoming
visit to Australia. [1]