Malaysia

RM300 mil grant sign Sabah on track to 40% entitlement: Hajiji

CM says negotiations ongoing to determine, finalise formula within a year

Updated 3 years ago · Published on 19 Jul 2023 11:05PM

RM300 mil grant sign Sabah on track to 40% entitlement: Hajiji
Datuk Seri Hajiji Noor has reiterated the Sabah government’s stand that it has never relinquished rights to the 40% revenue returned to the state, and it will continue to fight for the special grant entitlement according to the federal constitution. – Bernama pic, July 19, 2023

KOTA KINABALU – The increased RM300 million in a special grant from the federal government is a clear indication that the Sabah government is on the right path towards getting its entitlement as stipulated in Article 112D of the federal constitution, said Datuk Seri Hajiji Noor.

The chief minister said that Sabah welcomed the decision of the Malaysia Agreement 1963 (MA63) technical committee as announced by Deputy Prime Minister Datuk Seri Fadillah Yusof yesterday.

“This is an interim solution, and as mentioned by Fadillah, negotiations are still ongoing with a separate committee to determine and finalise the formula for the annual special grants for Sabah and Sarawak within a year,” he said in a statement here today.

Hajiji reiterated the Sabah government’s stand that it has never relinquished rights to the 40% revenue returned to the state, and it will continue to fight for the special grant entitlement according to the federal constitution.

“The Article 112D (of the federal constitution) provides for the formula and review of the 40% net revenue entitlement that the federation derives from the state,” he said.

After chairing the MA63 technical committee meeting yesterday, Fadillah said that Sabah and Sarawak would each receive RM300 million in special grants from the federal government this year.

The RM300 million grant is a RM40 million increase for Sabah following the previous RM260 million grant Putrajaya announced for the state in January, which would be paid as soon as possible, said Fadillah, who is also chairman of the MA63 committee.

Time has come

Meanwhile, Parti Kesejahteraan Demokratik Masyarakat president Datuk Peter Anthony hopes that the interim allocation of RM300 million will be used efficiently to overcome the problems plaguing infrastructure and basic facilities in the state.

He said the time has come for the government to aggressively resolve problems in the state, including damaged roads, water and electricity supply, which have been haunting Sabahans and require an immediate comprehensive solution.

Anthony said the granting of an interim allocation of RM300 million proved the sincerity of the unity government led by Datuk Seri Anwar Ibrahim in safeguarding the interests of Sabah and Sarawak.

He said he is confident that Anwar’s administration would be able to resolve Sabah’s demands in MA63.

He said the allocation is also believed to be a starting point to settle the demand for 40% of the revenue collected by the federal government in the state.

“There are several initiatives introduced by the prime minister which have been good for Sabah and Sarawak. 

“With the RM300 million announced as an interim solution, I am confident that our efforts to get 40% of the revenue collected by the federal government are now on the right track,” he said. 

Solution to critical issues

Sabah Umno liaison committee chairman Datuk Seri Bung Moktar Radin said the allocation is a step in the right direction and would have positive implications for Sabahans’ economic and social development.

“This will solve the critical issues of basic infrastructure development, electricity and clean water supply, roads, as well as other developments that are lagging behind compared with other states," he said, adding that Sabah Umno welcomed the allocation.

He hopes that the state government or government departments and agencies given the authority to coordinate the allocation will do it efficiently, quickly and accurately to reduce bureaucracy, as red tape will only hinder efforts to develop Sabah. – Bernama, July 19, 2023

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