RM6 billion is Sabah’s best performance
Published on: Friday, December 02, 2022
By: Larry Ralon
Hajiji had earlier predicted at the possibility but as it turned out, the amount exceeded the RM6b target.
Kota Kinabalu: Chief Minister Datuk Seri Hajiji Noor confirmed that Sabah earned RM6.18 billion revenue this year – testimony that the current Gabungan Rakyat Sabah (GRS) government has been the best performing yet since independence through the formation of Malaysia in 1963.Hajiji had earlier predicted at the possibility but as it turned out, the amount exceeded the RM6b target. He said this proved that the State has been well managed and efforts to collect taxable and non-taxable revenue and non-revenue receipts have been implemented successfully.
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“With efficient administrative machinery in financial management, the State Government has also maintained the ‘Clean Bill’ for the State Government’s Financial Statements which has been recognised by the National Audit Department,” said Hajiji, who is also the Finance Minister.
He was winding up for the Finance Ministry at the State Legislative Assembly sitting here Thursday.
He expressed utmost appreciation to all civil servants and parties involved directly or indirectly for the commitment and dedication that has been given so that the State Government managed to achieve excellent performance up to today.
“This is thanks to the State Government’s efforts that never give up to devise new strategies to increase revenue collection and ensure that the State’s revenue continues to be sustainable, even as the economic downturn hit the country,” he said.
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The Chief Minister also touched on the successful signing of an agreement between the Sabah Oil & Gas Development Corporation (SOGDC) and Esteel Enterprise Pte Ltd (Esteel) from Singapore for the construction of an integrated Green Steel Industrial Park at the Sipitang Oil and Gas Industrial Park (Sogip) with an investment value of USD4.39 billion (RM 19.6 billion).
“This project involves three phases which starts in the third quarter of 2023 and is expected to be completed in 2025. This includes the construction of various facilities such as iron concentration plant, pellet plant, jetty and support facilities.
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“The spillover from this project is expected to produce offer jobs to 10,000 to 15,000 people during construction, while 1,752 to 5,455 jobs are expected when fully operational. This is an example of the success of the State Government which is serious and committed to empowering economic growth, thus opening up opportunities for all citizens and this effort will be increased,” said Hajiji who was also present to witness the signing.
He said on the same day, there was also a mock cheque presentation from State government agencies and statutory bodies.
“A total of RM67.8 million in dividends have been declared by Borneo Development Corporation Sdn Bhd (BDC), Keningau Agro-Venture Sdn Bhd (KAV), Desa Group Sdn Bhd, Innoprise Corporation Sdn Bhd, KKIP Sdn Bhd, Sabah Credit Corporation (SCC) and Sabah Development Bank Berhad (SDB) as well as a total of RM1.75 million in contributions by the Sabah Rubber Industry Board (LIGS), Rural Development Corporation (KPD), Sabah Land Development Board (SLDB), Sabah Forestry Development Authority (Safoda) and Sabah Parks Board of Trustees.
“This makes the total amount of dividends and contributions to be collected this year amount to RM152 million, which government-linked companies and State statutory bodies are expected to make payment before the end of this year.
“This is one of the successes achieved by the State Government with the dedication of civil servants as well statutory bodies and state government agencies,” he said.
On the issue raised by Jamil Hamzah (Bugaya) and Datuk Darell Leiking (Moyog), Hajiji said the Petroleum Royalty is the main component in the State’s non-taxable revenue category which also includes Gold Mining Royalty.
“It is true that, compared to 2018, the non-taxable revenue category has experienced a decrease from RM2.68 billion to RM2.04 billion. The main reason is due to the Petroleum Royalty which has decreased from RM1.61 billion in 2018 to RM1.08 billion last year due to the decrease in crude petroleum production and prices.
“However, this year, due to the increase in oil prices to an average of USD94 per barrel, we have received an increase in a petroleum royalty payment to RM1.53 billion,” he said.
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