Thu, 9 Apr 2026
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No question on 40pc right. Issue is how fast it can be resolved: PBS
Published on: Wednesday, April 08, 2026
Published on: Wed, Apr 08, 2026
By: Larry Ralon, Esther Glorie Leow
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No question on 40pc right. Issue is how fast it can be resolved: PBS
Joniston said discussions between the State and Federal Governments are ongoing and must continue constructively to reach a fair outcome.
Kota Kinabalu: Parti Bersatu Sabah (PBS) said Sabah’s 40 per cent revenue entitlement remains intact despite Monday’s Appeal Court ruling allowing a stay of execution of an earlier High Court order but must be resolved as soon as possible.

Its Information Chief Datuk Joniston Bangkuai said PBS accepts the decision and stressed that it does not affect Sabah’s constitutional rights.

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“As stated by the Chief Minister, the 40pc entitlement remains intact. This is not about whether it will be given, but about the mechanism of payment and its implementation,” he said, Tuesday, when asked for the party’s view.

Joniston said discussions between the State and Federal Governments are ongoing and must continue constructively to reach a fair outcome.

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“What the people of Sabah want is a comprehensive resolution as soon as possible, even though several issues still need to be ironed out before full implementation,” he said.

PBS stressed that the priority now is how quickly the matter can be resolved, given that it has been long overdue.

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“We are not looking for confrontation. What we want is a fair resolution because this is our constitutional right,” said Joniston.

He said the State Government remains committed to pursuing what rightfully belongs to Sabah, while leveraging the existing good relations with the Federal Government.

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“We must make full use of the good ties and mutual understanding between the State and Federal Governments to find a solution that benefits Sabah,” he said.

He added that stronger financial resources are crucial for Sabah to accelerate its development, noting that the State still lags behind in several areas.

“This matter has been delayed for far too long. We hope a solution can be reached soon so that Sabah’s development can be strengthened,” he said.

PBS dismissed any notion that the State leadership is not taking action on the issue.

“The Chief Minister is firm in ensuring that what rightfully belongs to Sabah, as enshrined in the Constitution, will be fulfilled,” he said.

The party reiterated that continued engagement, grounded in cooperation and mutual respect, remains the best path towards resolving the matter. 

The Court of Appeal allowed the application pursuant to Section 44 of the Courts of Judicature Act 1964, holding that it had jurisdiction to hear the matter despite procedural objections, and that “special circumstances” justified granting a stay pending disposal of the appeal.

In arriving at its decision, the Court considered that the timelines imposed by the High Court – requiring a review within 90 days and an agreement within 180 days – may not provide sufficient time for a proper determination of the quantum payable, particularly given the scope of the review spanning multiple financial years from 1974 to 2021.

The Court further held that enforcing payments of such magnitude prior to the disposal of the appeal could result in a fait accompli, potentially rendering the appeal nugatory and undermining the integrity of the appellate process.

It also noted the applicant’s indication that steps are being taken to expedite the hearing of the appeal.

The effect of the stay is to preserve the status quo pending disposal of the appeal. 

It does not displace the High Court’s findings, including its determination that there had been a failure to conduct the periodic review required under Article 112D. 
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