Budget 2025: Sabah, Sarawak to continue receiving among highest allocations - PM

Prime Minister Datuk Seri Anwar Ibrahim said it was crucial to close the development gap among the states, particularly in essential infrastructure such as roads, electricity, and clean water.

"The MADANI government fulfills the commitments of past leaders regarding the Malaysia Agreement 1963, and this should not be questioned as Sabah and Sarawak receive special attention," he said while presenting the Budget in the Dewan Rakyat today.

Anwar, who is also the Finance Minister, noted that the government planned to double the special grants for Sarawak and Sabah to RM600 million next year.

He said that the special grant for Sarawak had not been reviewed since 1969.

"Under the MADANI government, this year (2024) we increased the allocation to RM300 million compared to RM16 million (Sarawak) and RM125.6 million (Sabah)," he said.

He said that a total of 17 work packages for the Pan Borneo Sabah Phase 1B had been issued with a contract value of RM9.7 billion, covering the routes from Kota Belud to Kudat; Tawau to Kampung Lot M; and Telupid to Ranau, while the Pan Borneo Sarawak was expected to be completed by November 2024.

Anwar said that the overall expenditure for the Pan Borneo projects in Sarawak and Sabah had reached RM25.1 billion.

The government has finalised four work packages for the Sabah Sarawak Link-Road (SSLR) Phase 2 valued at RM7.4 billion, with two packages already awarded, while the remaining packages are expected to be finalised before the end of the year.

He said the government also agreed to implement the Expansion Projects for Tawau Airport in Sabah and Miri Airport in Sarawak at a cost of RM253 million.

The Federal Government and Sarawak would also collaborate to develop the Sarawak Cancer Centre, estimated to cost RM1 billion, said Anwar, while praising Sarawak's willingness to prioritise funding for the construction of the project.

-- BERNAMA