By Lian Cheng
KUCHING, April 14: Sarawak is also expected to receive a bigger Special Grant from the federal government based on Article 112 of the Federal Constitution, after it was announced today that the Special Grant for Sabah had been increased.
A reliable source told DayakDaily that the federal government has been holding separate negotiations with Sabah and Sarawak on the matter.
“Now that the negotiation with Sabah has yielded some good outcome, soon the negotiation with Sarawak will commence.
“There is no way the federal government can get away from reviewing the Special Grant stipulated under Article 112D of the Federal Constitution to Sarawak.
“The giving of Special Grant to Sarawak and Sabah is the rights of the two Borneo States. For us, the right is (en)shrined under the Federal Constitution, the Malaysia Agreement 1963 and the IGC (Inter-Governmental Committee) report,” said the source.
Today, in a joint statement, Prime Minister Dato Sri Ismail Sabri Yaakob and Sabah Chief Minister Datuk Seri Hajiji Noor announced that they had reached an agreement on the annual Special Grant amount for Sabah.
Based on the agreement, the federal government will increase Sabah’s Special Grant from RM26.7 million to RM125.6 million, a 4.7-fold increase for this year.
The amount will be increased every year from 2023 to 2026 in accordance to a rate both sides have agreed upon.
As for the return of 40 per cent of tax collected in Sabah, the negotiation will continue.
The agreement between Sabah and the federal government is significant as the last review for the Special Grant was in 1969. — DayakDaily
