KUCHING: The federal government has allocated RM12.4 billion to Sabah and Sarawak for its development under Budget 2024.
Prime Minister and Finance Minister Datuk Seri Anwar Ibrahim announced that Sarawak will be allocated RM5.8 billion, an increase from the previous RM5.6 billion, whereas Sabah will receive RM6.6 billion, up from RM6.5 billion.
He added that both the Sabah and Sarawak state governments would also be given the authority to implement projects below RM50 million.
“To increase the effectiveness of implementation, the federal government has also decentralised the authority to execute development projects below the value of RM50 million to technical agencies in Sabah and Sarawak,” he said when tabling the Budget 2024 – under the theme “Madani Economy: Empowering the People” in Dewan Rakyat today.
Moreover, Anwar highlighted that the Unity Government has increased the interim special grant for Sarawak and Sabah, which has remained unchanged since 1969.
The allocation has increased to RM300 million, a substantial increase compared to the prior amounts of RM16 million for Sarawak and RM125.6 million for Sabah.
“The last review of Special Grants to Sarawak and Sabah was made in 1969 and 2022 respectively,” he said.
Additionally, the Inland Revenue Board of Malaysia (Amendment) Bill 2023 was passed in Dewan Rakyat on October 11. This will expand the membership of the board by adding a representative from Sabah and Sarawak as per the recommendations of the 1963 Inter-Governmental Committee (IGC) report.
On a separate development, negotiations are underway for the handover of Bintulu Port and its operation, as well as the Rural Air Service (RAS), to the state government.
