Malaysia

Crucial 40% meet postponed to July 15

Masidi said letters were sent from the chief minister office, not from the state secretary office

Updated 11 months ago · Published on 03 Jul 2025 12:26PM

Crucial 40% meet postponed to July 15
Administrative lapse hinders meeting - July 3, 2025

by Jason Santos

THE meeting to decide on Sabah’s 40% revenue entitlement has been delayed to July 15, clarified Sabah Finance Minister Datuk Seri Masidi Manjun

This follows questions that the supposed meeting to be held on June 30 could not be held due to an administrative lapse.

Masidi cited that two letters were dispatched in June to the Federal government to hold the crucial meeting and the matter was revealed during the state’s regular cabinet meeting held Wednesday.

“Deputy Prime Minister Datuk Seri Fadillah Yusof requested for a change of date I think,” he told reporters after hosting the SMJ Energy Annual Dinner, the firm of which he is chairman.

Masidi’s clarification came after Deputy Chief Minister Datuk Seri Jeffrey Kitingansaid that the meeting did not take place when a letter to call for the meeting was never sent by the Sabah Secretary Office despite approval from the state cabinet.

Sabah has offered to host the meeting in Kota Kinabalu, which involved the technical committee of the Malaysia Agreement 1963 (MA64) Implementation Action Council.

Fadillah chairs this committee.

Masidi clarified the letter to call for the meeting was actually sent by the chief minister office, and not the State Secretary Office.

“So, it is not accurate to say that we’ve been quiet or we’ve forgotten about it. There have been letters but the deputy prime minister requested a change of date because he could come,” Masidi, when dismissing Kitingan’s claim.

Any recommendations from the upcoming session would be submitted to the Prime Minister for final decision.

The 30 June session was supposed to be a make-or-break negotiation over Sabah’s 40% revenue entitlement.

The provision of the 40% of net revenue collected from the state is provided under Article 112C and Part IV of the Tenth Schedule of the Federal Constitution.

These payments were suspended in 1974 and have not resumed since although constitutionally mandated.

When contacted, Jeffrey confirmed to have known now that the meeting has been rescheduled. - July 3, 2025

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