Malaysia
Sarawak, federal govt record progress on Special Grant talks, interim hike from RM300m to RM600m, says state deputy minister
Datuk Sharifah Hasidah Sayeed Aman Ghazali speaks at the Sarawak State Legislative Assembly sitting November 26, 2025. — Penerangan pic via The Borneo Post

KUCHING, Nov 26 — Considerable progress has been made in the ongoing negotiations between Sarawak and the federal government on the Special Grant formula under Article 112D of the Federal Constitution, said Datuk Sharifah Hasidah Sayeed Aman Ghazali.

The Deputy Minister in the Premier’s Department (Law, MA63 and State-Federal Relations) said technical discussions and consultations have been actively carried out to refine the proposed formula, which Sarawak insists must be fair, consistent and clearly defined.

“I repeat here that as part of these ongoing efforts, the federal government has agreed, as an interim measure, to increase the Special Grant from RM300 million in 2024 to RM600 million starting from 2025 for over the next five years.

“While we are thankful for this, the Sarawak government continues to advocate for a finalised formula that is fair, transparent, and reflective of Sarawak’s contributions to the nation, through dialogues, consultations, and negotiations with the federal government,” she said during the question-and-answer session at the State Legislative Assembly (DUN) Sitting here.

She was responding to Lidam Assan’s (GPS-Katibas) question on the status of the Sarawak government’s negotiations with the federal government on the matter.

She stressed that the Sarawak government will continue to treat all unresolved Malaysia Agreement 1963 (MA63) issues with utmost importance.

“Our approach is systematic, focusing not only on the substance of each matter but also on ensuring that discussions with the federal government are structured, constructive, and result-oriented.

“Our teams are actively engaged in negotiations, policy planning, and intergovernmental discussions to ensure that all outstanding matters are addressed comprehensively,” she said.

To Lidam’s question on what Sarawak’s entitlement under MA63 in view of Sabah’s 40 per cent federal revenue share, Sharifah Hasidah said there is no such express provision for Sarawak.

“Even though the ruling applies specifically to Sabah, the principle behind the ruling is important.

“The principle is this: the federal government has a constitutional duty to fulfil its financial obligations to Sabah and Sarawak, and these duties are subject to judicial scrutiny to ensure they are properly fulfilled,” she said.

She also said that both Sabah and Sarawak are guaranteed financial reviews every five years pursuant to Article 112D of the Federal Constitution.

“The Court’s findings reinforce the expectation that such reviews must be conducted promptly, transparently, and in good faith.

“Sarawak’s position is that the Special Grant should be based on a fair, consistent, and clearly defined formula.

“This decision marks a meaningful step toward ensuring fairness and accountability in the federal government’s financial obligations,” she said.

She added that Sarawak remains steadfast in protecting its constitutional rights and will continue engaging the federal government under the framework of MA63. —The Borneo Post

 

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