[Page 1.]

[Handwritten reference number in blue ink, underlined in red:] 63/46614

[Handwritten in black ink at top of page:] PA

[Handwritten in blue ink in top right corner:] Copy

[Stamped in black ink:] DV

[Stamped in black ink:] RESTRICTED

[Underlined:] THE MINISTER: [Handwritten] ([Word illegible] Secretary)

[Underlined heading:] MALAYSIA

The following telegram addressed to the Department of External Affairs was received today from the Australian High

Commissioner, Kuala Lumpur, Mr. Eastman : –

[Indented quote:] "Malaysia – Immigration

As a result of current violence and uncertain future of race relations here, we may expect a major race increase in Chinese (and perhaps Indian) applications for permanent residence, particularly from students as they complete their courses of study in Australia." [End quote.]

2. We have spoken to the Department of External Affairs (Mr. Osborne, Assistant Secretary) who says that it will be at least a week before anyone could say definitely whether the present situation in Malaysia is likely to continue to deteriorate (all the present evidence points to the outlook being gloomy but there is a body of opinion in External Affairs which refers to similar racial unrest in the past which has been resolved satisfactorily).

3. Irrespective of the outcome there could however be an increasing interest in immigration to Australia on the part of the non-Malays in Malaysia, especially amongst the Australia-trained graduates who are of Chinese race, and increasing proclivity on the part of those already here to remain in Australia.

4. Even before the current racial disturbance, there was evidence of interest on the part of the non-Malay Australia-trained graduate [sic] in Malaysia in returning to Australia. Mrs. Hodgkin, Malaysian Student Counsellor in Western Australia

[Stamped in black ink:] "TO MINISTERS OFFICE" 20 MAY 1996

[Stamped in black ink:] Restricted

[Illegible handwritten signature.]    

[Stamped in black ink:] DEPARTMENT OF IMMIGRATION 27 MAY 1969 [illegible]

../2

[Handwritten at bottom of the page:] Registry [illegible] of 63/46614

[Illegible handwritten initials] 21/5

[Handwritten at bottom of the page:] Mr. Broom

[Page 2.]

[Stamped in black ink:] RESTRICTED

[Page number:] –  2

who has just completed a study of Australia-trained retuned graduates in Malaysia, has said in her interim report dated March, 1969 : –

[Indented quote] "An appreciable number of Australian graduates are seriously considering return to Australia or migration elsewhere at the present time. This is an ethnic and political problem which will be elaborated in later reports. It is based on fear of ethnic discrimination and on concern related to educational reforms which they feel will affect English proficiency and further advancement for their children." [End quote.]

Mrs. Hodgkin has said separately that of the six hundred odd graduates she interviewed in Malaysia some 47 per cent are seriously considering returning to Australia. These were without exception persons of Chinese or Indian race.

5. About four thousand of the ten thousand private students in Australia would be from Malaysia of whom the Australian High Commission has estimated 97 per cent would be Chinese with some Indian. Of the twelve hundred private students granted resident status between March 1966 and December 1968, two hundred were Malaysian, principally of Chinese and Indian race.

6. Submitted for your information.

[Illegible handwritten signature]   

(P. R. Heydon)

SECRETARY. [underlined.]

20 May, 1969.

[Stamped in black ink] RESTRICTED

NOTED:

[dotted line with no text.]

May, 1969.