By Shikin Louis
KUCHING, Oct 11: Sabah received a larger development allocation than Sarawak under Budget 2026 mainly due to its request for greater revenue returns and the State’s relatively wider development gap, says Deputy Prime Minister Datuk Amar Fadillah Yusof.
He explained that this was part of ongoing discussions under the Malaysia Agreement 1963 (MA63) framework, which aims to ensure fairer treatment and equitable development for both Borneo states.
“That is part of what we have discussed under MA63, especially Sabah’s request for a return of its revenue. That could be why Sabah received a larger portion than Sarawak,” he said during a press conference regarding Budget 2026 held at a local hotel here today.
Fadillah noted that while both Sabah and Sarawak received significant allocations—RM6.9 billion for Sabah and RM6 billion for Sarawak, the difference reflects each State’s unique needs and priorities.
“At the same time, we must look at the development gap. Sarawak has been using much of its own funding, while Sabah may still be slightly behind. We understand that situation,” he added.
He further said he was satisfied with the additional allocations for both states but stressed that the real focus now should be on ensuring efficient implementation and full utilisation of the funds.
“With the increase, I am satisfied. But of course, there is still much that needs to be done. The focus, as I’ve mentioned, is on improving implementation methods so that the allocations can be fully utilised and projects carried out effectively,” he asserted.
Fadillah noted that even with sufficient allocations, some projects fail to progress due to delayed or incomplete spending.
“Sometimes the allocations are there, but they are not fully spent, which defeats the government’s purpose,” he said.
The allocations, announced under the Belanjawan Madani 2026, mark the first time both Sabah and Sarawak received over RM6 billion each, a move Fadillah said reflects the federal government’s ongoing commitment to narrowing regional disparities under the MA63 spirit. – DayakDaily
