Why Did Singapore Separated From Malaysia

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Why was Singapore separated from Malaysia?
I. Introduction
Singapore, alongside North Borneo and Sarawak, entered Malaysia Federation on 16th September, 1963 following the Malaysian Agreement that was signed on 9th July that same year in London. The agreement included a number of conditions for Singapore’s entry. For instance, Singapore must pay 40% of its yearly revenue to the federation and the two agreed over the creation of a common market in exchange for Singapore’s $150 Million contribution to help developing Sarawak and North Borneo. Nevertheless, around 2 years later, Singapore left Malaysia after encountered several conflicts during its presence in the federation. Those issues left Malaysia with no choice but to separate from Singapore for good.
II. Singapore was separated from Malaysia
Singapore’s presence in Malaysia Federation was no longer endured after she encountered a few matters that ranged from economic problem, political rivalry and racial conflicts, which were claimed to be the main cause of the separation. Through the texts, the details why Singapore was ousted out from the Federation will be illustrated.
2.1. Economic Reasons
Singapore started to feel disappointed just at her first year in the federation, and it was due to two remarkable reasons. One was in December, 1964 when Malaysia increased the 40% pay to 60% in the aim to combat the Indonesia Confrontation and threatened to shut down the Singapore branch of the Bank of China, which managed the

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