STAR president Datuk Seri Dr Jeffrey Kitingan has urged Prime Minister Datuk Seri Anwar Ibrahim to implement Sabah’s 40 per cent revenue entitlement, and that continued failure to do so could trigger a “referendum-like reaction” at the next general election.
The Tambunan assemblyman said the entitlement was not a matter of federal discretion but a constitutional right provided under Articles 112C and 112D of the Federal Constitution.
He also cited the Kota Kinabalu High Court ruling on Oct 17, 2025, which he said affirmed Sabah’s entitlement.
“The Prime Minister must act in accordance with his words and take this golden opportunity to implement Sabah’s rights in full,” he said, referring to Anwar’s earlier declaration that “the 40 per cent is settled. Case closed.”
Kitingan rejected the argument that the Federal Government’s financial position should determine when the entitlement was paid, saying the revenue represented Sabah’s share.
“This is not about the Federal Government’s financial position. The money is not ‘federal money’, it is our portion.
“Sabah urgently needs this revenue to resolve the outstanding and current problems plaguing the State — water shortages, electricity failures, poverty, underdevelopment and more,” he said.
He said the RM1.5 billion interim special grant announced by Anwar during the Kaamatan celebrations remained below what he regarded as Sabah’s actual entitlement.
Kitingan estimated that Sabah should receive at least RM5 billion for 2026 alone.
He also proposed establishing an MA63 Revenue Tracking System, or Marts, in Sabah to allow real-time monitoring and classification of federal revenue collected from the state.
Kitingan said implementing the entitlement could also benefit the Madani Government politically and potentially strengthen its support among the Borneo bloc.
He claimed Sabah contributes up to RM50 billion annually in federal revenue, arguing that a 40 per cent share could potentially amount to RM20 billion a year, while federal allocations to the state remained comparatively small.
Kitingan further cautioned against conflating federal subsidies with Sabah’s constitutional entitlement, saying subsidies constituted government assistance while constitutional rights were a separate matter. - August 29, 2026