MALAYSIA'S premier Abdullah Ahmad Badawi indicated he was unimpressed with a qualified apology from Singapore's Lee Kuan Yew over his comments on the treatment of the ethnic Chinese minority.

Lee said in a letter that he was sorry for the "discomfort" caused by his claim that ethnic Chinese communities in Indonesia and Malaysia were being systematically marginalized.

Abdullah tersely acknowledged the letter and reiterated his view that the remarks by Singapore's founding father were "uncalled for and not appreciated" and risked inflaming racial tensions in the multicultural country.

"I have taken note of the apology," he said of Lee's letter, in which the former Singapore premier argued he was only repeating comments he had made many times before.

"Irrespective of whatever reasons he has said, such a statement can incite the feelings of the races," he added. "We have to ensure such a statement should not be made again."

Issues related to race, religion and education are extremely sensitive in Malaysia even after almost half a century of independence from British rule.

Malaysian Foreign Minister Syed Hamid Albar had called for an apology from Singapore, saying that Lee had overstepped the boundaries.

"I am sorry that what I said has caused you a great deal of discomfort. After a decade of troubled relations with your predecessor, it is the last thing I wanted," Lee said in the letter.

"I had no intention to meddle in your politics. Indeed I do not have the power to influence Malaysia's politics or to incite the feelings of the Chinese in Malaysia.

"Since you took over as prime minister in November 2003, relations between our two countries have much improved. Singaporeans and, I believe, Malaysians too, appreciate this."

Lee also told a forum in the city-state that it was vital that Singapore, which is predominantly ethnic Chinese, stand up to its majority Muslim neighbours Malaysia and Indonesia.

Malaysia and Singapore have strong economic ties but the two nations have squabbled periodically since Singapore was ejected from the new Malaysian federation in 1965 due to race politics.

Malaysia's 26.6-million-strong population consists of some 60 percent Malay Muslims but the economy is largely controlled by ethnic Chinese who make up some 26 percent of the population.

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