Malaysia

Federal to roll out RM300 mil interim allocation to Sabah, S’wak soon: Fadillah

DPM says amount will be implemented once MoF issues gazette

Updated 2 years ago · Published on 19 Jul 2023 8:00AM

Federal to roll out RM300 mil interim allocation to Sabah, S’wak soon: Fadillah
Datuk Seri Fadillah Yusof says a committee has also been formed to ensure that the allocation formula for Sabah and Sarawak is finalised within a year. – ABDUL RAZAK LATIF/The Vibes file pic, July 18, 2023

PUTRAJAYA – The RM300 million interim allocation each to Sabah and Sarawak will be implemented as soon as possible, said Deputy Prime Minister Datuk Seri Fadillah Yusof.

Speaking at a press conference after chairing the Malaysia Agreement 1963 (MA63) Implementation Action Council Technical Committee Meeting here yesterday, Fadillah said the provision is in accordance with Article 112D of the federal constitution in relation to MA63.

Article 112D refers to the review of special grants for Sabah and Sarawak.

“Regarding the special grant provision to Sabah and Sarawak, after discussions, it was agreed that the interim allocation of RM300 million for the two states should be implemented as soon as possible.

“Now what is needed is in terms of administration, and today, it was agreed to gazette some methods of calculation. 

“The RM300 million will be allocated as soon as the gazette on the matter is issued by the Finance Ministry,” he said.

He said a committee was also formed to ensure that the allocation formula is finalised within a year.

Earlier, Prime Minister Datuk Seri Anwar Ibrahim, when chairing the MA63 Implementation Action Council Meeting, said the federal government has agreed to increase the special grant to RM300 million, in accordance with Article 112D of the federal constitution.

Anwar, who is also finance minister, said the amount is only for the initial stage before a specific formula is announced, and the grant’s provision was decided by previous leaders who saw the two states as lagging behind the peninsula during Malaysia’s formation.

He added that in the MA63, Article 112D mentioned that reasonable grants must be provided to Sarawak and Sabah, starting with RM16 million and RM26 million, respectively, and should be reviewed once every five years, but this did not happen. – Bernama, July 18, 2023

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