Malaysia

Sabah to maintain 40% rights to state revenue

Finance minister says negotiations based on data, statistics needs to proceed.

Updated 2 years ago · Published on 30 Nov 2023 4:04PM

Sabah to maintain 40% rights to state revenue
Finance Minister Datuk Seri Masidi Manjun says Sabah and Putrajaya will continue to negotiate until a solution is found. – The Vibes file pic, November 30, 2023.

by Jason Santos

SABAH will keep its right to 40% of the state’s revenue, Finance Minister Datuk Seri Masidi Manjun said.

“As emphasised by the state government, it will continue to demand the 40% share of the federal government’s revenue from Sabah.

“We believe there is no need to devise a new formula. The formula is already provided in the Federal Constitution.

“In this matter, what is needed is to proceed with negotiations based on the data and statistics that need to be presented by the Federal Government,” he said in the Sabah Finance Ministry winding-up speech today.

Sabah is entitled to 40% of revenue collected by Putrajaya, as stipulated in article 112C and section 2(1) of Part IV of the Federal Constitution.

A decision on the 40% revenue rights is expected to be made mid-next year.

Meanwhile, Masidi also noted the new gazette on the special grant issued in parliament yesterday, saying he believed it could not override the provisions of the constitution.

Sabah MPs were caught by surprise yesterday when a copy of the gazette was placed on their tables before the Dewan Rakyat sitting.

According to Assafal Alian (Warisan-Tungku) the special grant review order was gazetted in November, which revoked the review order in 2022 that revoked the first review order in 1969.

Assafal pointed out the first review order stated the cancellation of the 40% revenue rights for Sabah and he expressed fear Sabah has lost this.

He has called for Sabah to treat the matter cautiously, especially on the legal implications which could even lead to Sabah losing its rights.

Masidi pointed out that Prime Minister Datuk Seri Anwar Ibrahim had said that the special grant which Sabah received two days ago is only an interim payment.

Anwar yesterday announced that the RM300 million special grant to Sabah has already been paid.

“For this, Sabah and Putrajaya will continue to negotiate until a solution is found,” he said. – The Vibes, November 30, 2023

Related News

Opinion / 2w

The Malaysia Agreement 1963: Grievances and expectations in Sabah and Sarawak

Malaysia / 3w

Budget 2027: Sabah, Sarawak to receive RM34.9b in federal allocations next year

Events / 3w

Sarawak and Sabah play key roles in weathering climate change

Malaysia / 1mth

Address security concerns and let concert proceed – former Sabah CM

Malaysia / 1mth

A message from our publisher and chairman

Malaysia / 1mth

Sabah leaders condemn priest and nun joke at UMNO PAU

Spotlight

Malaysia

PH denies role in RoS suspension of Perikatan Nasional

Malaysia

Police hunt two suspects after BMW shot at in Sitiawan

By Alfian Z.M. Tahir

Malaysia

Mohamad Hasan turned away from Lendu nomination centre despite having EC pass

Business

Three Malaysian brands rank among Asean's 10 most valuable, led by Petronas

Malaysia

Melaka PRN: 79 candidates vying for 28 state seats

Malaysia

Melaka PRN: Adly Zahari faces three challengers in Bukit Katil

Malaysia

Shuhaily's return to police force remains a ministry matter, AGC says

You may be interested

Malaysia

PH denies role in RoS suspension of Perikatan Nasional

Malaysia

Anwar pledges university access for pondok students

Malaysia

Melaka police deploy 1,159 personnel for state election campaign

Malaysia

Ewon seeks clarity on 13 Sabah rural road projects affected by SST deferment

Malaysia

Malaysia contributes €1.6m to international anti-corruption academy since 2012

Malaysia

Sabah, Sarawak get RM11b rural road funding

Malaysia

MMA calls for urgent deployment of doctors to Sabah hospitals

Malaysia

Melaka PRN: Akmal Salleh faces PH challenger in straight fight to retain Merlimau seat