Sabah’s 40% entitlement has never been used as a political bargaining chip

Statement by Ahmad Farid Sainuri, Press Secretary To The Minister In the Prime Minister’s Department (Sabah and Sarawak)

KOTA KINABALU: I refer to media reports carrying the headline, “If you want the RM1.5 billion interim payment to continue, retain the MADANI Government,” which have appeared on several local news portals since 27 September.

For the record, the remarks made by YB Datuk Ts. Mustapha Sakmud were quoted out of context, creating the impression that Sabah’s constitutional rights were being linked to political support for the MADANI Government.

What the Minister sought to emphasise was the MADANI Government’s commitment to addressing Sabah’s needs by increasing the interim payment to an unprecedented level. Under the administration of YAB Dato’ Seri Anwar Ibrahim, the amount increased from RM300 million in 2023 to RM600 million in 2024, and now stands at RM1.5 billion annually.

This increment did not happen by chance. It reflects the close cooperation between the Sabah State Government and the Federal Government in working towards solutions on matters concerning the rights and interests of the people of Sabah.

Highlighting this track record in no way means that Sabah’s rights are conditional upon political support. Sabah’s rights remain firmly protected under the Federal Constitution, including provisions relating to Sabah’s Special Grant.

Furthermore, the RM1.5 billion Interim Special Grant is not, and has never been, regarded as a substitute for the resolution of Sabah’s 40% entitlement. It is an interim payment pending the final determination of the actual value of Sabah’s Special Grant.

Therefore, questions concerning the formula, the actual amount and the implementation mechanism have not been set aside. These are among the matters currently being finalised between the Sabah Government through State Secretary, Ministry of Finance and the Federal Government through the Secretary-General of the Treasury.

The Minister’s priority remains clear: all matters concerning the rights of Sabah and Sarawak under MA63 must be resolved effectively and in accordance with the Federal Constitution, without compromising national unity.

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