KOTA KINABALU – The Sabah government should state its claim over the non-implementation of the 40% revenue entitlement and the alleged sum owed by the federal government after being paid with a fixed amount since 1974.
Minister in the Prime Minister’s Department (Sabah and Sarawak Affairs) Datuk Seri Maximus Ongkili said he can only facilitate a meeting over these issues when such a complaint is lodged.
Under the Malaysia Agreement 1963 (MA63) and the federal constitution, Sabah is entitled to 40% of the revenue collected by the federal government from the state in the form of an annual special grant.
But a legal disagreement between the attorney-generals of Sabah and the federal government in the late 1960s resulted in Sabah getting a fixed payment since 1974.
This means the federal government has defaulted in the 40% revenue sharing formula.
This all depends on how hard Sabah will push for these. This is based on an agreement between two parties. You must lodge your unhappiness, you must lodge your claim, you must file such non-compliance.
“Only then can I call for a meeting. I can’t simply call for a meeting. There cannot be just any complaints here and there. If there’s a genuine complaint, the state, as a signatory of the MA63, must lodge a complaint and a non-compliant demand,” he told reporters after a meet-and-greet session with Sabah lawyers here last night.
Ongkili, who is a member of the MA63 talks monitoring committee, said he anticipated that the 40% issue would be brought to the discussion table in the forthcoming MA63 meet when Sarawak asserts its demand.

As for the back payment, he said Sabah could include its claim in the same meeting, adding that the matter also depends on how serious the state government is in pushing both matters to be realised.
Ongkili said he is only a facilitator and would be able to organise a meeting between the federal and state governments.
He also said now is a good time for Sabah to state its claim as Prime Minister Datuk Seri Ismail Sabri Yaakob is very open and willing to listen to the state.
Starting from former prime minister Tan Sri Muhyiddin Yassin and now Ismail Sabri, they are open to the arguments raised by Sabah and Sarawak as long as they are based on the laws,” he said.
Meanwhile, Ongkili said there is a need for Sabah to establish its own legal repository that keeps track of its historical data. He said this matter would be raised to Sabah Chief Minister Datuk Seri Hajiji Noor.
Taking Sarawak’s cue to send a MA63 legal team to London to retrieve all related documents, the Kota Marudu MP said he supports the mechanism done by the neighbouring state.
“This matter must be discussed with the Sabah chief minister. It is a state matter. But I will support the mechanism done by Sarawak.
“It will also serve as a reference point for students,” he said.
Recently, the Sabah Law Society mooted the idea for the state to establish a legal repository by getting all the documents and historical facts in an effort to put an end to the Philippines or Sulu claim on Sabah.
In 2017, Sarawak sent a legal team of lawyers to search and study any references relating to the state’s rights under the MA63. – The Vibes, May 6, 2022