{
  "id": 8012258,
  "title": "Funds allocated, but Sabah, S’wak projects held up by local issues",
  "url": "https://urgent.news/2026/09/17/funds-allocated-but-sabah-swak-projects-held-up-by-local-issues-8012258",
  "topic": "finance",
  "section": "Finance & Markets",
  "published": "2026-09-17T10:29:00.000Z",
  "source": {
    "name": "Free Malaysia Today",
    "slug": "free-malaysia-today-freemalays",
    "url": "https://www.freemalaysiatoday.com/category/nation/2026/09/17/funds-allocated-but-sabah-s-wak-projects-held-up-by-local-issues"
  },
  "original_language": "en",
  "account": "The Malaysian government has allocated funds for several development projects in Sabah and Sarawak, but these initiatives are facing delays due to various local issues, according to economists. Land acquisition, logistics, terrain challenges, and coordination between agencies are among the factors contributing to the sluggish progress of these projects, as emphasized by Tan Peck Leong, an economist from Universiti Teknologi Mara. Afzanizam Rashid, the chief economist at Bank Muamalat Malaysia Bhd, explained that just because funds have been allocated does not mean they immediately translate into physical developments like roads, bridges, schools, or water supply. Implementation involves multiple stages of approval and execution. The obstacles to implementation can be practical matters, not just the size of the allocation, according to Afzanizam Rashid. In November 2024, Dr Zaliha Mustafa, the then federal territories minister, reported that Sabah and Sarawak had 1,244 and 1,124 federal development projects, respectively, the highest in the country. However, the spending rates for these states were only 46.7% and 54.43%, respectively. Sabah’s spending improved in 2025, with RM5.9 billion, or 89% of the RM6.7 billion allocation, spent. However, the release of funds for development projects in Sabah and Sarawak is managed in stages, in line with project progress and status, as explained by the finance ministry. Project implementation is further complicated by the vast geography of these states, scattered settlements, difficult terrain, and sites located far from economic centers, further complicating logistics and land acquisition processes.",
  "summary": "Economists say a low spending rate does not necessarily mean the federal government lacks commitment, as project progress depends on implementation on the ground.",
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 2,
    "also_reported_by": [
      {
        "outlet": "Free Malaysia Today",
        "title": "Funds allocated, but Sabah, S’wak projects held up by local issues",
        "url": "https://urgent.news/2026/09/17/funds-allocated-but-sabah-swak-projects-held-up-by-local-issues",
        "published": "2026-09-17T10:29:00.000Z"
      }
    ]
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}