Sabah’s 40% entitlement never a bargaining chip, says minister’s aide

An aide to the Sabah and Sarawak affairs minister, Mustapha Sakmud, clarified that the interim RM1.5 billion grant was never seen as a substitute for the 40% revenue share Sabah is entitled to. Mustapha's press secretary, Ahmad Farid Sainuri, pointed out that reports quoting the minister urging Sabahans to retain their support for the Madani government to keep the grant were taken out of context.

Farid emphasized that these reports suggested the constitutional right was linked to political backing for the Madani administration, which he denied. The minister's intention was to highlight the government's commitment to addressing Sabah's needs by increasing the interim payment to a record level. The increase reflects the close cooperation between the Sabah and federal governments in finding solutions regarding the rights and interests of Sabah's people.

Farid stressed that the Madani administration's record does not imply that Sabah's rights are conditional on political support. He reiterated that Sabah's 40% special grant entitlement remains firmly protected under the Federal Constitution. Mustapha's priority was to resolve all matters concerning the rights of Sabah and Sarawak under the Malaysia Agreement 1963, in accordance with the constitution and without endangering national unity.

The federal government's special grant to Sabah, which was RM26.7 million annually between 1974 and 2021, was raised to RM125.6 million for 2022. The Madani administration increased the amount to RM300 million in 2023, doubled it to RM600 million for 2024 and 2025, and fixed it at RM1.5 billion for this year.