Malaysia

RM9.6 bil to develop Sabah, Sarawak

Borneo states to also get other allocations indirectly

Updated 5 years ago · Published on 06 Nov 2020 7:45PM

RM9.6 bil to develop Sabah, Sarawak
Sabah will get RM5.1 billion under Budget 2021, and Sarawak, RM4.5 billion. – The Vibes file pic, November 6, 2020

by Jason Santos

KOTA KINABALU – Malaysia’s two largest states, Sabah and Sarawak, will receive RM9.6 billion for development under Budget 2021.

Sabah will get RM5.1 billion, and Sarawak, RM4.5 billion, to build and improve water and electricity supply, roads, and health and education facilities, said Finance Minister Datuk Seri Tengku Zafrul Tengku Abdul Aziz when tabling the Budget today.

Both states will also get other allocations indirectly. 

To reduce the development gap between rural and urban areas, Sabah and Sarawak will receive a portion of the RM2.7 billion allocated to improve infrastructure in rural areas.

The two states stand to gain a portion of the RM1.3 billion allocated for rural roads and RM632 million for water supply and alternative water supply, benefiting 4,800 households.

An additional RM250 million has been allocated to improve power supply in rural areas, benefiting some 1,1000 households, RM355 million for the House Aid Programme and RM121 million to build 27,000 street lights.

Mobile bank services will be expanded in Sarawak to assist communities in the distribution of the Prihatin cash aid.

A portion of a RM100 million allocation will go to the Sabah Economic Development and Investment Authority for skills training for workers affected by the closure of international borders. 

The federal government will increase the allocation for essential goods distribution and liquefied petroleum gas (LPG), among others, from RM150 million to RM200 million, extending it to 34 new areas, including Pulau Sakar in Sabah dan Ulu Mujok in Sarawak.

Some 1.1 million Malaysians will benefit from this initiative, which positively impacts the price of rice, sugar, flour, cooking oil, LPG, RON95 petrol and diesel.

Some RM41 million has been allocated for native customary rights programmes in Sabah and Sarawak.

Sarawak’s Kuching and Sabah’s Kota Kinabalu will get RM150 million under the scheduled bus transformation service programme, and as part of promoting green technology, Putrajaya will support the use of public buses using hydrogen fuel cells in Sarawak.

The two Borneo states stand to benefit from a RM50 million allocation for the improvement and maintenance of tourism facilities.

A RM1,000 grant under Geran Khas Prihatin Tambahan will be given to Sabah businesses and traders affected by the drop in visitors and tourists due to Covid-19.

E-hailing drivers, taxi drivers, rental car services and tourist guides are also eligible for the grant.

Sabah and Sarawak will get a portion of the RM15 billion allocated to the Pan Borneo Highway project, namely the construction of the Serusop-Pituru package.

The development of the Sabah and Sarawak economic region will be given a portion of the RM780 million set aside for infrastructure projects, such as the Samalaju industrial estate under the Sarawak Corridor of Renewable Energy and continuation of the Sepanggar Container Port extension project under the Sabah Development Corridor. – The Vibes, November 6, 2020

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