Kota Kinabalu: The increase in Sabah’s Special Grant from RM53.4 million in 2020 to RM1.5 billion in 2026 demonstrates the effectiveness of the State Government’s negotiation strategy in pursuing the State’s financial rights, according to economist Dr Awang Faisal Assyiffa
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He said the nearly 28-fold increase over six years represented a significant fiscal achievement for Sabah and should be assessed based on measurable outcomes rather than political rhetoric.
According to Dr Awang Faisal, the increase was the result of consistent efforts, diplomatic engagement and structured negotiations led by Chief Minister Datuk Seri Hajiji Noor and the State leadership in advancing Sabah’s rights under the Federal Constitution and the Malaysia Agreement 1963 (MA63).
He said the development also provided context to Prime Minister Datuk Seri Anwar Ibrahim’s recent praise of Hajiji’s leadership style, which he described as focused on results rather than publicity.
Dr Awang Faisal noted that Hajiji’s approach emphasises negotiation and practical solutions aimed at delivering direct benefits to Sabah and its people.
From an economic perspective, he described the increase in the Special Grant as one of the most significant fiscal developments in Sabah’s modern history.
He said the additional revenue would strengthen the State’s financial position and provide greater fiscal space for infrastructure development, education, healthcare, basic utilities and broader economic growth.
At the same time, he said the RM1.5 billion payment remains an interim arrangement pending the finalisation of Sabah’s entitlement under Article 112D of the Federal Constitution and the 40 per cent net revenue formula.
Nevertheless, Dr Awang Faisal said the increase from RM53.4 million to RM1.5 billion reflected substantial progress in Sabah’s financial claims and demonstrated the benefits of constructive engagement between the State and Federal governments.
“In economics, performance is measured by numbers, not slogans, and the figures today show that Sabah’s Special Grant has increased almost 28 times over six years,” he said.
