KOTA KINABALU: The Federal government has agreed to increase the interim special grant for Sabah and Sarawak from RM300 million to RM600 starting next year. 

According to Deputy Prime Minister, Dato Sri Fadillah Yusof, this was announced during the Malaysia Agreement 1963 Implementation Action Council (MTPMA63) which was chaired by Prime Minister, Datuk Seri Anwar Ibrahim and also attended by Sarawak Premier, Datuk Patinggi Tan Sri (Dr) Abang Abdul Rahman Zohari Tun Datuk Abang Openg and Sabah Chief Minister, Datuk Seri Hajiji Noor. 

Dato Sri Fadillah who is also the MTPMA63 Technical Committee Chairman said although the interim special grant is due to be reviewed every five years, the Prime Minister decided to increase it sooner.

“Last year, he announced RM300 million for each state, and (at the meeting) today, he decided to increase the interim special grant from RM300 million to RM600 million each for Sabah and Sarawak.

“This will begin in 2025. It was supposed to be announced during the tabling of the 2025 Budget (next month), but the Prime Minister just announced it at the meeting,” he told reporters after the MTPMA63 meeting at the Sabah International Convention Centre (SICC) here, on Thursday. 

Dato Sri Fadillah said the formula for the distribution of the special grant to Sabah and Sarawak, however, has yet to be finalised as it would be up to the two states to decide.

The Deputy Prime Minister also said that there were four issues that could not be resolved at the meeting this time, including stamp duty jurisdiction, state rights over the continental shelf, and oil royalties.

He said the issues that were listed in the ‘Agree to Disagree’ category would be deliberated at the highest level between the Prime Minister, Sabah Chief Minister and Sarawak Premier later.

“The MADANI government remains committed to ensuring that the demands under MA63 are resolved promptly for the overall wellbeing of all Malaysians.

“Other issues or demands related to MA63 will continue to be discussed and monitored through other negotiation platforms, namely the Technical Committee under MTPMA63, to ensure that these outstanding demands are addressed appropriately,” he added. -BERNAMA