Sarawakians can look forward to promising developments as Premier Datuk Patinggi Tan Sri Abang Johari Tun Openg presents the State Budget 2024 at the State Legislative Assembly (DUN) sitting today.
“Just wait for our budget on Monday. I will give you some good news on Monday for the benefit of the people of Sarawak,” the Premier stated at the Sarawak Corridor of Renewable Energy’s (SCORE) 15th Anniversary Gala Dinner in Kuching on Friday.
Despite limited allocations from the Federal government, Abang Johari noted that since 2017, increased revenue has allowed the state government to contribute significantly to the development within SCORE.
Under the Federal Budget 2024, tabled by Prime Minister Datuk Seri Anwar Ibrahim on October 13, Sarawak received RM5.8 billion, an increase of RM200 million from Budget 2023. Additionally, the Unity Government increased the interim special grants for Sarawak to RM300 million, up from RM16 million previously.
In the State Budget 2023, RM10.797 billion was allocated, with RM3.997 billion for operating expenses and RM6.8 billion for development fund appropriations. The budget, themed ‘Sarawak First: Towards an Inclusive, Prosperous, and Harmonious Society,’ was based on five principles. The Budget 2024 is expected to follow a similar focus, emphasising continuity and acceleration of development, particularly in rural areas. These principles include developing a robust, competitive, and equitable economy; building Sarawak as a resilient state; fostering a smart society through digital technologies; nurturing a united, harmonious, and caring society; and maintaining fiscal sustainability.
There is a need for a substantial budget allocation to accelerate infrastructure projects in Sarawak, including those related to paddy farming. The State Budget under Abang Johari’s leadership has been both development-centric and rural-centric, focusing on roads, connectivity, and utilities, especially in rural areas. Like previous budgets, more allocation will go towards the Development Fund Account compared to operating expenses.
This budget is expected to set a new record in overall allocation, especially for development. Will it exceed RM12 billion, becoming the highest in Sarawak’s history and among the states in Malaysia? It is also expected to generate a surplus of over RM200 million, as in previous budget.
Sarawak anticipates an increase in revenue next year, following a positive trend over the past five years. Under Abang Johari’s leadership, financial reengineering has led to a record revenue of RM12 billion in 2022. Sarawak’s revenue comprises tax revenue, non-tax revenue, non-revenue receipts, and federal grants and reimbursements. Last year’s figure surpassed projected revenue, reaching the highest in the state’s history, with revenue increasing from RM10 to RM11 billion in previous years. From State Sales Tax (SST) alone, as of October 6 this year, Sarawak received almost RM15 billion from Petronas since 2019.
In other words, the budget will continue to be expansionary, investing heavily in infrastructure and utilities, focusing on water, electricity, and connectivity issues, with the well-being of the people at its core. The budget is part of a master plan, roadmap, and grand design to achieve a developed and progressive Sarawak by 2030 under his visionary and sustainable leadership.
The Sarawak Budget 2024 is a strategic financial plan aimed at fostering economic development, social welfare, and environmental sustainability. Grounded in the principles of prudent fiscal management, inclusivity, and innovation, the budget reflects the state government’s commitment to steering Sarawak towards a resilient and sustainable future.
The cornerstone of the budget is infrastructure development, with significant allocations for transportation networks, focusing on roads and bridges. Emphasis is on transforming Sarawak into a competitive economy and balancing socio-economic growth with sustainable environmental development.
The budget prioritises digital infrastructure investments to support the transition to a digital economy, stimulating economic activity across urban and rural areas. Recognising education as a catalyst for progress, the budget increases funding for educational and agricultural programmes, including the construction and enhancement of educational facilities.
Scholarships and incentives are introduced to encourage higher education, particularly in science and technology. Abang Johari is also expected to announce assistance for Sarawak students, especially those from B40 families. This initiative is significant, considering the estimate that approximately 5,000 Sarawak students enter higher education institutions each year.
Recognising the importance of economic diversification, the budget supports agriculture, tourism, and technology sectors. Incentives are introduced to stimulate business growth and entrepreneurship, fostering a dynamic economic landscape. The goal is to reduce dependence on traditional industries and create a more resilient and diverse economy.
The budget, I believe, places a strong emphasis on social welfare programmes, with increased allocations to support vulnerable populations. Measures are introduced to address poverty through targeted interventions, job creation programmes, and community development initiatives. This reflects the government’s commitment to creating a more inclusive and equitable society.
In recognition of the global need for sustainable development, the budget incorporates initiatives and investments to promote environmental conservation, including support for renewable energy projects and sustainable development practices.
The Sarawak Budget 2024 encapsulates a vision for a prosperous and sustainable future. By addressing key priorities such as infrastructure development, education, economic diversification, social welfare, and food security, the government aims to create a resilient and inclusive society. The transparent financial framework and commitment to environmental sustainability further underscore the government’s dedication to responsible governance under Abang Johari’s leadership.
As Sarawak navigates the complexities of the modern world, Budget 2024 stands as a testament to its commitment to progress, prosperity, and the well-being of its people. The budget is grounded on strategic and forward-looking trusts for a sustainable future, aiming to make the state more progressive, secure, resilient, and prosperous. In summary, the budget is expected to be expansionary, comprehensive, inclusive, and pragmatic, with special emphasis on development, rural development, and economic growth.
