Anwar Reaffirms Federal Govt's Commitment To Honouring Sabah's 40 Pct Revenue Entitlement

KOTA KINABALU, Nov 15 (Bernama) -- Prime Minister Datuk Seri Anwar Ibrahim has stressed that the federal government will not back down in its efforts to fulfil Sabah’s right to 40 per cent of revenue from the state as provided for under the Federal Constitution.

Anwar, who is also Finance Minister, said technical negotiations on the matter would continue in an orderly manner beginning this Monday, involving federal and state government officials, including Treasury secretary-general Datuk Johan Mahmood Merican and representatives of the Sabah government.

“I want to emphasise here, as Prime Minister representing the Cabinet and the federal government, that the 40 per cent entitlement is Sabah’s constitutional right. We are not appealing that… what is being appealed relates only to certain aspects of the judgment, so we will continue negotiations in a respectful manner,” he said.

He said this during the "Temu Anwar: Harapan Urang Muda Sabah" programme at the International Technology & Commercial Centre (ITCC) in Penampang today.

Anwar also stressed that efforts to resolve the issue of Sabah’s 40 per cent net revenue entitlement should not be used as a reason to deny or belittle the contributions of leaders who previously led the federal and state governments.

Anwar said that although the recent court ruling stated that governments since 1974 had acted contrary to the Federal Constitution in the implementation of Sabah’s revenue entitlement, the finding should not be used as political capital to blame individuals or past generations of leaders.

He said it was a matter of legal interpretation and there was no need to insult past leaders, who had contributed a great deal to the country.

Anwar said the focus now is to resolve the claim professionally through cooperation between the state and federal governments, rather than stirring sentiment or politicising past mistakes.

Yesterday, Sabah’s Federal Cabinet Representative in the Special Meeting of the Technical Committee of the MA63 Implementation Action Council (JKTMTPMA63), Datuk Armizan Mohd Ali, said the first discussion on Sabah’s Special Grant based on the 40 per cent formula will be held this Monday at Menara Kinabalu.

Asked about the water supply issue in Sabah, Anwar expressed confidence that it could be fully resolved next year, in addition to ensuring that all basic utility projects in the state are completed without delay.

Anwar said the decades-long water supply problem in Sabah is now undergoing a comprehensive resolution process after the government approved a substantial allocation to upgrade related infrastructure in the state.

He said the federal government had approved RM360 million specifically for water projects in Sabah, in addition to RM1.2 billion for electricity needs, in line with efforts to ensure that the people of the state enjoy basic amenities on par with those in other states.

“Based on the latest reports, Insya-Allah, by 2026 — next year — all water issues in Sabah will be resolved, or at least most of them,” he said.

Anwar also urged the youth to exercise their rights responsibly, including choosing leaders based on integrity and capability rather than racial or regional sentiment. 

He stressed that the country’s future depends on the wisdom of the younger generation in assessing who truly works for the people.

“Don’t choose based on skin colour or state. Choose those who genuinely want to serve the people,” he said, reminding that Malaysia cannot remain peaceful if everyone only prioritises their own race or group.

-- BERNAMA