By Shikin Louis
KUCHING, Oct 22: Minister in the Prime Minister’s Department (Sabah and Sarawak Affairs) Datuk Mustapha Sakmud has questioned the use of the Malaysia Agreement 1963 (MA63) to criticise Prime Minister Datuk Seri Anwar Ibrahim, pointing out that 12 of the 16 fully resolved matters under the agreement were settled under the current administration.
He said the record showed that the Madani government had resolved the highest number of MA63 matters to date, although Sabah’s long-standing claim to 40 per cent of federal revenue derived from the State remains unresolved.
In a statement today, Mustapha said it was fair for any party to criticise the Madani government, but such criticism should be based on facts rather than assumptions that no progress had been made in implementing MA63.
“Why is MA63 still being used as political ammunition to attack PMX when the best record of MA63 resolutions has been achieved under the Madani government?” he said.
Mustapha said negotiations on MA63 had spanned several administrations since 2016, with the Malaysia Agreement 1963 Implementation Action Council (MTPMA63) monitoring 29 matters as of October 2026.
Of these, 16 had been fully resolved, three had been settled on an interim or partial basis, while 10 remained under negotiation.
He said 12 of the 16 fully resolved matters were settled between 2023 and 2026 under the Madani government, compared with four under previous administrations.
Among the key achievements were the transfer of electricity regulatory powers to Sabah, permanent representation for Sabah and Sarawak on the Inland Revenue Board, the handover of Bintulu Port to Sarawak and the takeover of MASWings, now operating as AirBorneo.
Mustapha said he did not discount the efforts of previous governments, which had initiated the negotiations, adding that the Madani government had continued outstanding demands to ensure continuity.
However, he acknowledged that Sabah’s claim to 40 per cent of federal revenue derived from the State remained one of the issues closest to the hearts of Sabahans.
He stressed that the RM1.5 billion interim special grant announced for Sabah was not the final settlement of the State’s constitutional entitlement under Articles 112C and 112D of the Federal Constitution.
Negotiations between the federal government and the Sabah government were still ongoing, involving the Treasury Secretary-General, Sabah State Secretary, Sabah Finance Minister and technical teams from both sides, he said.
The outstanding matters included the mechanism for implementing the entitlement, the actual amount payable and the payment timeline, all of which must be agreed upon by both governments.
While negotiations continue, Mustapha said the interim special grant had increased from RM125.6 million in 2022 to RM1.5 billion in 2026, with the same amount announced for 2027.
He said the increase represented nearly 12 times the 2022 rate, making RM1.5 billion the highest annual special grant provided to Sabah to date.
“This is Sabah’s financial right, not political charity from any party,” he said.
Mustapha also cited rising federal government expenditure for both Sabah and Sarawak, saying the figures reflected increased financial commitments to the two States.
Federal expenditure for Sabah rose from RM13 billion in 2022 to RM17.2 billion in 2025, with allocations of RM17.6 billion for 2026 and RM18.7 billion for 2027.
For Sarawak, federal expenditure increased from RM10.2 billion in 2022 to RM15.4 billion in 2025, with allocations of RM15.1 billion for 2026 and RM16.2 billion for 2027.
The figures for 2022 to 2025 were actual expenditure, while those for 2026 and 2027 were allocations, he said.
Despite the increased allocations, Mustapha acknowledged that people continued to face problems involving roads, water and electricity supplies, as well as delays in infrastructure projects, including the Pan Borneo Highway.
“Increased allocations must be translated into faster and more effective implementation. We cannot be satisfied with announcements involving billions of ringgit if the results have yet to be truly felt by the people,” he said.
He said the public should continue to press for Sabah’s 40 per cent revenue entitlement, demand the resolution of outstanding MA63 matters and hold the government accountable for development delays.
However, he maintained that the progress already achieved under the Madani government should also be recognised, arguing that the record of resolutions did not support claims that the administration had failed to address MA63. — DayakDaily
