Malaysia

Sabah welcomes High Court decision on 40% revenue entitlement

Hajiji said the victory also recognised the important role of the Sabah Government in continuing to defend and assert the state’s constitutional rights.

Updated 1 year ago · Published on 17 Oct 2025 4:04PM

Sabah welcomes High Court decision on 40% revenue entitlement
The Chief Minister said the State Government would negotiate with the Federal Government to implement the Court’s order in a spirit of cooperation and mutual respect - October 17, 2025

SABAH today welcomed the High Court’s decision allowing the Sabah Law Society’s (SLS) application for judicial review of Sabah’s entitlement to the 40 per cent special grant from the Federal Government.

“We are relieved by the High Court’s decision directing the Federal Government to conduct a review of the grant for the missing years within 90 days.

"This decision confirms Sabah’s rights as enshrined in the Federal Constitution, particularly under Articles 112C and 112D,” said Caretaker Chief Minister Datuk Seri Hajiji Noor.

He said the victory also recognised the important role of the Sabah Government in continuing to defend and assert the state’s constitutional rights.

He added that the State Government’s efforts in clarifying historical records, including the “Share of Growth of Federal Revenue Derived from Sabah” from 1964 to 1968, had played a significant role in asserting that the intent and effect of Articles 112C and 112D remained unchanged.

“The receipt of interim payments is without prejudice to the state’s constitutional rights,” he said.

From the very beginning, Hajiji said in every Malaysia Agreement 1963 (MA63) meeting chaired by the Prime Minister, the Sabah Government has always been consistent and firm in presenting the state’s demands.

“We have been fighting this issue relentlessly through every official channel, every MA63 meeting chaired by the Prime Minister, and through many official letters sent to Putrajaya.

"We have never let this matter stand still. With this decision, we hope that the Federal Government will fulfill its responsibilities as agreed upon during the formation of Malaysia,” he said.

The Chief Minister said the State Government would negotiate with the Federal Government to implement the Court’s order in a spirit of cooperation and mutual respect, as well as ensuring that Sabah’s constitutional rights are fully realised.

Hajiji also praised the SLS’s action in bringing this issue to court as a matter of public interest.

High Court Judge Datuk Celestina Stuel Galid in her decision today also ordered that both the Federal and State Governments reach a mutual agreement within 180 days from the date of the order, as required under Article 112D of the Federal Constitution. – October 17, 2025

Related News

Opinion / 1w

FT compulsory land acquisition laws under scrutiny once again

Business / 2w

Generating new revenue sources: Malaysia should look into marine-fuel industry, says expert

Opinion / 3w

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

Malaysia / 4w

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

Malaysia / 4w

Federal revenue to hit RM380.8 billion in 2027, tax collections lead growth

Malaysia / 4w

Budget 2027: Federal spending rises to RM459.84 billion

Spotlight

Opinion

Can Najib break Madani?

World

Trump offers UFC CEO the position of Press Secretary

Malaysia

Building a great nation begins with happy families, says Anwar

Malaysia

Anwar should sack BN ministers who are not aligned with him – Muhyiddin

Malaysia

AGC rejects claims of defying King’s decree on Najib

Malaysia

Deepavali: Selangor Sultan calls on Malaysians to strengthen unity, reject hatred

Malaysia

If there were still obstacles, why accept the RM50m payment, asks Najib’s daughter

Malaysia

Where did UMNO's RM50 million payment for Najib's release come from?

By The Vibes Says

You may be interested

Malaysia

32.3 million WhatsApp users in Malaysia face malware threat

Malaysia

Rice supply can last six months, fish for eight; Mat Sabu urges public not to panic

Malaysia

Najib's house arrest: PMX asks AG to seek audience with King to clarify matters

Malaysia

Building a great nation begins with happy families, says Anwar

Malaysia

Anwar condemns far-right extremism following deadly Poland shooting

By Alfian Z.M. Tahir

Malaysia

AGC rejects claims of defying King’s decree on Najib

Malaysia

PLUS highway congested since midnight ahead of Deepavali

Malaysia

Cybersecurity team spends a week on alert guarding government, private systems