Wednesday, February 10, 2010

November 11, 2009 17:26 PM

RM44.2 Million In Local Authority Loan Converted To Grant

KOTA KINABALU, Nov 11 (Bernama) -- The state government today announced that all remaining local authority loans made in or before the year 2000, totalling RM44.2 million, will be converted to grant.

This includes a balance of RM22.8 million loan by the Kota Kinabalu City Hall, Chief Minister Datuk Seri Musa Aman said.

Speaking to reporters after chairing the state cabinet meeting today, he said the state government made the decision after taking into consideraton that the loans were used to provide social amenities, which did not bring any return to the local authorities.

"The loan is converted to grant to strengthen the accounts of the local authorities concerned and allow them to focus on improving their respective services," he said.

Meanwhile, Musa said Risda had planned various programmes for implementation in Sabah from next year.

Among them are replanting activities on individual lots by participants, smallholders development through the rural tuition programme, skills training, career development as well as Risda scholarship.

Risda would also collaborate with the Sabah Rubber Industry Board to diversify smallholders' income, he said.

-- BERNAMA

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