(AFP) Singapore's visiting senior minister Lee Kuan Yew shared Malaysia's concern over rising Islamic militancy, Defence minister Najib Razak said today.

"Yes, I think he is concerned because it will not only affect us but also Singapore," the defence minister told reporters.

Najib said he had briefed Lee, who arrived yesterday for a four day visit, on the activities of Muslim militants here.

"Specifically I briefed him about the problems of the militants we have here and what we are doing to counter their threats," the defence minister said.

Tool of hatred

Prime Minister Dr Mahathir Mohamad said last week that Islamic extremists were using religion to ignite hatred against the government and setting up militant wings to seize power.

His remarks reflected repeated allegations that a so-called "Malaysian Mujahideen Group" is responsible for a spate of crimes including the bombing of a church and an Indian temple.

Ten alleged members of the group, including seven members of the opposition PAS were detained without trial in July under the Internal Security Act.

Najib said Lee viewed the issue of Islamic militancy as a world-wide phenomenon, and praised the government's moderate and tolerant position on Islam, which was the best defence against the threat of Islamic radicals.

"This is what is necessary to deflect the threat from militants -- both inside and outside the country," he said.

"I assured him that we are doing our best. We are on top of it."

Najib said the police were investigating the operations of the militants to establish where they do their training and how they recruit members.

Sound footing

On bilateral ties with Singapore, he said they were "on very sound fundamental footing", adding that both the countries would have to strengthern cooperation in trade and investment.

"There are times when we come to conflict ... but let the competition be a healthy competition rather than seen as spreading anything negative," Najib said.

Lee's visit is aimed at resolving outstanding issues between the nations. He will meet Mahathir tomorrow.

Ties between the neighbours have been strained by issues including the supply of water to Singapore, the use of Malaysian airspace by Singaporean aircraft and the withdrawal of pensions by Malaysian workers in Singapore.

The location of Malaysia's customs, immigration and quarantine facility in the city-state has also been a contentious issue.