KUCHING: A total of RM10.646 billion has been allocated in the 2022 State Budget; RM4.046 billion will be for operating expenditure and RM6.6 billion for development fund to finance the implementation of various development programmes and projects.
Chief Minister Datuk Patinggi Abang Johari Tun Openg said that with the state’s estimated revenue of RM10.036 billion and expected ordinary expenditure of RM10.646 billion, the state budget was expected to incur a deficit of RM610 million.
“It is critical at this junction that given the devastating impacts of Covid-19 pandemic to the state’s economy and the livelihood of the people, the state government ought to embark on a fiscal expansionary policy to boost productivity and revive the economy,” he said.
Abang Johari pointed this out during the Special Meeting on the 2022 State Budget with Sarawakian lawmakers at Borneo Convention Centre Kuching (BCCK) on Tuesday (Oct 12).
The chief minister added he was convinced with such direction, the state would overcome the difficult and challenging period to recover stronger.
“The consequences for not making any intervention measures in terms of significant public investments and spending may result in severe and disastrous repercussions on the people’s well-being and economic prosperity in the future,” he said.
Abang Johari revealed that the state revenue was projected at RM10.036 billion next year.
“This includes RM4.907 billion or 49 percent from tax revenue, RM4.844 billion from non-tax revenue, RM26 million from non-revenue receipts as well as from federal grants and reimbursements of RM259 million,” he said.
Later, at a press conference, Abang Johari explained that the budget was an expansionary budget.
“in this budget, we are providing many allocations to help the people during this difficult time.
“Fortunately, we have a stable financial situation and a lot of programmes will be carried out to help the people affected by the pandemic next year,” he said.
To a question, the chief minister replied that it was the first time such a special meeting was held.
“We are not tabling the state budget but we are sharing it with the elected representatives in view that we are still under the Emergency Order.
“The power is on the chief minister to approve the allocations from the Consolidated Funds for us to use in the operation for one year.
“Strictly speaking, this is just to inform them (the elected representatives) on the approved budget for 2022 based on the power that I have under the Emergency Order,” he said.
Abang Johari added those at the meeting seemed to agree with what had been decided and space was given those in the government and opposition to share their views.
“In a nutshell, our budget is people-centric to help the people in facing the Covid-19 pandemic,” he said.
For the record, Section 11 of the Emergency (Essential Orders) (Sarawak) Ordinance 2021, stated that notwithstanding any provision in the Constitution of the State of Sarawak relating to expenditure charge on the Consolidated Fund of the state, any expenditure requiring an ordinance or a resolution of the DUN and withdrawal from the Consolidated Fund of the state for so long as the Emergency is in force, any expenditure or withdrawal from the Consolidated Fund of the state may be made with the approval of the chief minister or state financial authority as the case may be in such manner as may be provided by any written law or treasury instruction or treasury circular relating thereto for the time being enforced.
Among those present during the meeting were State Legislative Assembly (DUN) Speaker Datuk Amar Mohamad Asifa Awang Nassar, Deputy Chief Minister Datuk Amar Awang Tengah Ali Hasan, Welfare, Community Wellbeing, Women, Family and Childhood Development Minister Datuk Seri Fatimah Abdullah and Local Government and Housing Minister Datuk Seri Dr Sim Kui Hian.
