Anwar: MA63 a national promise, 12 items finalised, more scholarships for Sabah, Sarawak

In his recent Budget 2027 speech, Malaysian Prime Minister Datuk Seri Anwar Ibrahim presented the Malaysia Agreement 1963 (MA63) as a "Waad Nasional" or national promise, emphasizing its importance as a national responsibility. He noted that 12 items under the agreement have been finalized, alongside other measures and allocations directed towards Sabah and Sarawak.

The government has agreed to increase Public Service Department (JPA) scholarship offers, which will provide 4,200 Sabahans and Sarawakians with the opportunity to further their education annually.

Anwar expressed frustration that previous federal governments' special grants for Sabah and Sarawak had not aligned with their developmental needs. The current administration has increased these special grants three times, with the latest interim payment being RM1.5 billion, and there will be ongoing discussions to establish a fair and sustainable annual formula.

Among the finalized items in MA63 are the appointment of permanent representatives from Sabah and Sarawak in the Inland Revenue Board and the transition of Bintulu port to Sarawak ownership. Other highlights include Sarawak assuming control of MASWings (now AirBorneo), with the federal government contributing RM209 million in subsidies for 820,000 passengers in remote areas, and the transfer of electricity regulatory powers to Sabah, while the federal government continues to provide RM600 million to maintain electricity supply.

The proposed federal allocation for Sabah and Sarawak for the next year will be the highest, with Sabah receiving RM18.7 billion (up from RM17.6 billion this year) and Sarawak receiving RM16.2 billion (up from RM15.1 billion). Anwar also mentioned that RM3.3 billion will be allocated to continue road and highway projects in both states.

Furthermore, the federal government has initiated talks with the Sarawak state government to develop a special economic zone in Sibu, including the creation of a one-stop center to streamline investments and address strategic infrastructure needs.