Budget 2020 Comprehensive, inclusive: Liew

KUALA LUMPUR: Deputy Chief Minister Datuk Christina Liew has described Budget 2020 as a comprehensive and inclusive budget for all strata of the Malaysian society with special consideration for the needs of Sabah and Sarawak. 

Commenting on the Budget, she said overall, it covers all segments from education, health, welfare, socio-economic infrastructure, housing and tourism to agriculture, manufacturing, entrepreneurship, industrialisation, special investment incentives, digital infrastructure and other economic sectors. 

Liew noted that the two East Malaysian states have been retained as recipients of the highest development budget with an allocation of RM5.2 billion for Sabah and RM4.4 billion for Sarawak.

Last year, Sabah received RM1.14 billion while Sarawak was given RM1.3 billion, reportedly the biggest share of development expenditure among the states.

“The other good news is that for the first time since 1969, the annual Federal Special Grant of RM26.7 million for Sabah and RM16 million for Sarawak as provided for under the Malaysia Agreement 1963 (MA1963), is being reviewed.

“The Pakatan Harapan Government has proposed to double the rate to RM53.5 million for Sabah and RM32 million for Sarawak beginning next year (2020). On top of that, over the next five years, the Government will further double the grant to RM106.8 million for Sabah and RM64 million for Sarawak,” she said in a statement, issued here, Saturday.

Finance Minister Lim Guan Eng had said the Special Grant for Sabah and Sarawak under Article 112D of the Federal Constitution constitutes a part of the Federal Grant.

However, upon reflection, Liew, who is also Minister of Tourism, Culture and Environment, questioned as to why Lim had conveniently evaded the phrase “40 percent Special Grant” (pertaining to revenue derived from Sabah) when he touched on the Special Grant which was supposed to be reviewed every five years since 1969. Sabah’s Special Grant is provided for in Part IV of the Tenth Schedule of the Federal Constitution.

While appreciating the Federal Government’s attention to Sabah and Sarawak, she contended that the development fund of RM5.2 billion under Budget 2020 is grossly insufficient for the development of Sabah’s rural poor areas which are conspicuously lagging far behind.

“And the allocation of RM300 million for the repair of dilapidated schools is totally inadequate. It is imperative that Sabah MPs seek a mid-term review of the Budget to meet any shortfall. As MP for Tawau, I will continue to speak up without fear or favour on Sabah’s needs in general and Tawau’s needs in particular,” she said.

On Lim’s statement that the Federal Government will continue to return 50pc of the tourism tax collection to each State Government in conjunction with Visit Malaysia Year 2020,

Liew argued that the amount would not be ample for the maintenance or repair of existing tourism infrastructure, let alone development of new tourism products.”Specifically, I will provide input on these aspects to justify why Sabah needs a bigger chunk of Federal funding when I debate on the Budget next week,” she added.

ty with special consideration for the needs of Sabah and Sarawak. Commenting on the Budget, she said overall, it covers all segments from education, health, welfare, socio-economic infrastructure, housing and tourism to agriculture, manufacturing, entrepreneurship, industrialisation, special investment incentives, digital infrastructure and other economic sectors. 

Liew noted that the two East Malaysian states have been retained as recipients of the highest development budget with an allocation of RM5.2 billion for Sabah and RM4.4 billion for Sarawak.

Last year, Sabah received RM1.14 billion while Sarawak was given RM1.3 billion, reportedly the biggest share of development expenditure among the states.

“The other good news is that for the first time since 1969, the annual Federal Special Grant of RM26.7 million for Sabah and RM16 million for Sarawak as provided for under the Malaysia Agreement 1963 (MA1963), is being reviewed.

“The Pakatan Harapan Government has proposed to double the rate to RM53.5 million for Sabah and RM32 million for Sarawak beginning next year (2020). On top of that, over the next five years, the Government will further double the grant to RM106.8 million for Sabah and RM64 million for Sarawak,” she said in a statement, issued here, Saturday.

Finance Minister Lim Guan Eng had said the Special Grant for Sabah and Sarawak under Article 112D of the Federal Constitution constitutes a part of the Federal Grant.

However, upon reflection, Liew, who is also Minister of Tourism, Culture and Environment, questioned as to why Lim had conveniently evaded the phrase “40 percent Special Grant” (pertaining to revenue derived from Sabah) when he touched on the Special Grant which was supposed to be reviewed every five years since 1969. Sabah’s Special Grant is provided for in Part IV of the Tenth Schedule of the Federal Constitution.

While appreciating the Federal Government’s attention to Sabah and Sarawak, she contended that the development fund of RM5.2 billion under Budget 2020 is grossly insufficient for the development of Sabah’s rural poor areas which are conspicuously lagging far behind.

“And the allocation of RM300 million for the repair of dilapidated schools is totally inadequate. It is imperative that Sabah MPs seek a mid-term review of the Budget to meet any shortfall. As MP for Tawau, I will continue to speak up without fear or favour on Sabah’s needs in general and Tawau’s needs in particular,” she said.

On Lim’s statement that the Federal Government will continue to return 50pc of the tourism tax collection to each State Government in conjunction with Visit Malaysia Year 2020,

Liew argued that the amount would not be ample for the maintenance or repair of existing tourism infrastructure, let alone development of new tourism products.”Specifically, I will provide input on these aspects to justify why Sabah needs a bigger chunk of Federal funding when I debate on the Budget next week,” she added.