KOTA KINABALU: Sabah’s Budget 2026 will prioritise faster development while placing people’s well-being at the centre, guided by fiscal discipline amid global uncertainty, Deputy Chief Minister and Finance Minister Datuk Seri Masidi Manjun said on Tuesday.
Speaking at the Sabah Budget 2026 Roundtable Discussion, he said the budget, themed “Accelerating Development, Prioritising the People’s Well-Being”, will focus on high-impact projects that deliver tangible benefits rather than headline figures, against continued pressures from trade tensions, geopolitical risks and climate-related disruptions.
Masidi said Sabah is proposing supply expenditure of RM6.402 billion for 2026 with projected revenue of RM6.430 billion, resulting in a surplus of RM28 million that reflects the state’s determination to live within its means while investing for the future.
He said Budget 2026 will continue shifting towards development-led spending, with RM1.865 billion proposed for development expenditure, alongside an approved ceiling of RM12.02 billion under the Thirteenth Malaysia Plan to fund 1,173 projects, the highest development allocation in the state’s budget history.
Masidi said the budget will rest on five pillars covering productive sectors, socio-economic balance, human capital, basic infrastructure and government delivery, while strengthening governance, revenue resilience and efforts to pursue Sabah’s constitutional rights, including the 40 per cent Special Grant mechanism.