The Chinese were perceived as temporary residents and encountered difficulties in obtaining land rights. Europeans were prioritized in the choice of plantation areas, while colonial officials believed the remaining plots must be protected and preserved for the indigenous population. Short-term and renewable leases of varying lengths were later introduced as a temporary measure, but many Chinese remained on these lands upon expiration of their contracts and became squatters. At the beginning of the 20th century, the colonial government began to implement the "Ethical Policy" to protect the indigenous population, casting the Chinese as the "foremost enemy of the natives". Under the new policy, the administration increased restrictions on Chinese economic activities, which they believed exploited the native population.