KUCHING, Oct 11: The federal government is planning to double the rate of Special Grant to Sabah and Sarawak under Section 112D of the Federal Constitution.
Finance Minister Lim Guan Eng said for 2020, it would increase the rate from RM16 million for Sarawak and RM26.7 million for Sabah, to RM64 million and RM106.8 respectively within five years.
“In the same spirit, the federal government intends to increase the financial grants disbursed to Sabah and Sarawak as provided for under the current Malaysia Agreement 1963 (MA63),” he added during the Budget 2020 announcement in Putrajaya today.
“Included in the federal grants is the Special Grant under Section 112D of the Federal Constitution, which has not been reviewed and remained unchanged since 1969,” he informed.
He revealed that the rate set by the previous government was RM26.7 million for Sabah and RM16 million for Sarawak per annum.
Meanwhile, Sarawak will be allocated RM4.4 billion of Development Expenditures for 2020, the largest ever portion, together with Sabah with RM5.2 billion.
Lim said these allocations demonstrate that the Pakatan Harapan (PH) government prioritised the needs of Sabah and Sarawak.— DayakDaily
