“Our position at Labuan would, it must be borne in mind, differ from the position we occupied in relation to the native princes in Singapore. In the latter case, the native princes were without means, without followers, and with a paltry and useless territory, and became our pensioners. In the case of Labuan, we shall have an acknowledged independent state in our vicinity; and for the prosperity of our settlement we must retain our ascendency by the support of the government of Muda Hassim. Let our influence be of the mildest kind; let us, by supporting the legitimate government, ameliorate the condition of the people by this influence; let us pay every honor to the native princes; let us convince them of our entire freedom from all selfish views of territorial aggrandizement on the mainland of Borneo, and we shall enjoy so entire a confidence that virtually the coast will become our own without the trouble or expense of possession. I have impressed it on the Rajah Muda Hassim and Pangeran Budrudeen, that the readiest and most direct way of obtaining revenues from their various possessions will be by commuting all their demands for a stated yearly sum of money from each; and by this direct taxation, to which Muda Hassim and his brother seem ready to accede, the system of fraud and exaction would be abolished, the native mind tranquillized, and the legitimate government would become the protector rather than the oppressor of its dependencies. By this measure, likewise, a tone might be imparted to the native chiefs and rulers of rivers, and the people at large taught to feel that, after the payment of a specified sum, a right existed to resist all extra demands. Beside this, these rajahs are convinced that a certain yearly revenue is what they require, and is the only means by which they can retain their independence; and I have impressed it on their minds that, to gain a revenue, they must foster trade and protect Europeans in their dealings.
“If Labuan were English, and if the sea were clear of pirates, I see no obstacle to bringing these and other measures into immediate operation; and I am assured we should have the sincere and hearty cooperation of the Borneon government.
“Since the advent of Europeans in the Archipelago, the tendency of the Polynesian governments generally has been to decay; here the experiment may be fairly tried on the smallest scale of expense, whether a beneficial European influence may not reanimate a falling state, and at the same time extend our own commerce. We are here devoid of the stimulus which has urged us on to conquest in India. We incur no risk of the collision of the two races: we occupy a small station in the vicinity of a friendly and unwarlike people; and we aim at the development of native countries through native agency.
“If this tendency to decay and extinction be inevitable; if this adaptation of European policy to a native state be found unable to arrest the fall of the Borneon government, yet we shall retain a people already habituated to European manners, industrious interior races, and at a future period, if deemed necessary, settlements gradually developed in a rich and fertile country. We shall have a post in time of war highly advantageous as commanding a favorable position relative to China, we shall extend our commerce, suppress piracy, and prevent the present and prospective advantages from falling into other hands; and we shall do this at small expense.
“I own the native development through their own exertions is but a favorite theory; but whatever may be the fate of the government of Borneo, the people will still remain; and if they be protected and enabled to live in quiet security, I cannot entertain a doubt of the countryʼs becoming a highly productive one, eminently calculated as a field for British enterprise and capital.
“If the development of the resources of the country can be effected by its native rulers it will be a noble task performed; but if it fail, the people of the coast will still advance and form governments for themselves under British influence.
“In concluding this hasty and general view of the subject, I may remark that commerce might be extended and capital laid out on the northwest coast of Borneo, to an amount to which it is difficult to fix limits, as the country is capable of producing most articles of commerce in demand from this quarter of the world, and the natives (who, as far as we know them, are an unwarlike, mild, and industrious race) would receive our manufactures, from which they are now in a great measure debarred. I have not alluded to any other countries of the Archipelago: for we must first become acquainted with them; we must become intimate, cultivate an English party, and accustom them to our manners; and probably the same conciliatory policy, the same freedom from design, which has succeeded in Borneo, will succeed elsewhere, if pushed with temper and patience.
“The general principle ought to be—to encourage established governments, such as those of Borneo and Sooloo, provided they will with all sincerity abandon piracy, and assist in its suppression; but at the same time, by supervision to convince ourselves of the fact, and keep them in the right path; for all treaties with these native states (and we have had several) are but so much waste paper, unless we see them carried into execution.
“I have now only to mention the third means for the extension of commerce. Our intercourse with the natives of the interior should be frequent and intimate: these people (beyond where I am acquainted with them) are represented as very numerous, hospitable, and industrious; and a friendly intercourse would develop the resources of their country, draw its produce to our markets, and give the natives a taste for British manufactures. This intercourse, however, must be prudently introduced and carefully advanced; for to bring these wild people into contact with ignorant and arrogant Europeans would produce bloodshed and confusion in a month. In Borneo, it is an advantage that the two races can not come in collision; for from its climate it precludes all idea of colonization; and that which is next to an impossibility, the maintaining a good understanding between ignorant civilized men and ignorant savages. It is a field for commerce and capital, but no violent change of native customs should be attempted; and in this way alone, by gradual means, can we really benefit the natives and ourselves. When we consider the amount of produce obtained from the countries of the Archipelago, and their consumption of British manufactures, under the worst forms of government, living in a state of distraction and insecurity, and exposed to the depredations of pirates at sea, we may form some idea how vast may be the increase, should peace and security be introduced among them; and judging of the future by the past—by the limited experiment made at Sarāwak—we may hope that the task is neither so difficult nor so uncertain as was formerly supposed.”