Sabah seeks immediate payment of 40pct revenue share from 2022

 By Olivia Miwil

April 30, 2026 @ 11:20am

Sabah Finance Minister Datuk Seri Masidi Manjun said the state remains open to discussing and refining constructive solutions regarding suitable payment options. NSTP/FILE PIC

KOTA KINABALU: The Sabah government is seeking the immediate payment of its 40 per cent revenue share from Putrajaya, beginning from the 2022 assessment year.

Sabah Finance Minister Datuk Seri Masidi Manjun said the state remains open to discussing and refining constructive solutions regarding suitable payment options.

"Payments from 2022 to this year should be implemented immediately in accordance with the 40 per cent revenue entitlement under the Federal Constitution," he said during his winding-up speech at the state legislative assembly.

*Under the constitution, Sabah is entitled to 40 per cent of the revenues collected by the Federal Government from the state.*

Last Oct, the Kota Kinabalu High Court ruled that the federal government had acted unlawfully by failing to honour Sabah's 40 per cent net revenue entitlement for nearly five decades.

The court ordered a review to determine the quantum for each financial year from 1974 to 2021, with a deadline of April 15.

However, on April 6, the Court of Appeal allowed the federal government's application for a stay of execution pending appeal.

Masidi, who is also deputy chief minister, said the state government has sent a letter to the federal administration stating that the deferment of payment only applies to the years prior to 2022, in line with the Court of Appeal's decision.

He said the state has presented its calculation method for the special grant, while the federal government has agreed to share relevant data.

"Although not all developments are made public, this does not mean the government is inactive," he said.

"In reality, every negotiation meeting goes beyond discussion and is followed by further action through official correspondence and continuous assertions of the Sabah government's position to urge immediate action by the federal government.

"One fundamental point is that, whether on the government or opposition side, all of us stand united in the same struggle to ensure that Sabah's 40 per cent special grant entitlement is implemented promptly by the federal government."