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Federal Budget 2027 Prioritizes Allocations for Sabah and Sarawak

Rabat:Sabah and Sarawak Federal allocations for Sabah and Sarawak will continue to be the highest under Budget 2027, as announced today.

According to BERNAMA News Agency, Prime Minister Datuk Seri Anwar Ibrahim, who also serves as the Finance Minister, presented the budget named 'Reaching for the Sky, Rooted in the Ground' in the Dewan Rakyat. Sabah is set to receive RM18.7 billion, an increase from RM17.6 billion this year, while Sarawak will get RM16.2 billion, up from RM15.1 billion.

Road infrastructure projects in these states are set to continue with a dedicated allocation of RM3.3 billion. The Miri section of the Trans Borneo Highway has already received the Letter of Acceptance (SST), and similar documents for the Limbang and Lawas sections are expected by the end of the year. Additionally, the Sarawak-Sabah Link Road 1 and Pan Borneo Sabah Phase 1B are scheduled for completion by the end of next year. Federal road maintenance funds of RM350 million have been designated for G1-G4 contractors in these regions.

The budget also includes a significant increase in educational opportunities, with the number of Public Service Department (JPA) scholarships for students from Sabah and Sarawak set to double, allowing 4,200 students to pursue higher education annually.

Regarding the Sibu Special Economic Zone, the Sarawak government's commitment has led the Federal Government to start formal negotiations to finalize the necessary incentive frameworks, investment centers, and infrastructure needs. Moreover, the installation of a Statcom system at the Dam Road and Segaliud Main Intake Substations, costing RM204 million, has been approved. The Southern Link Transmission Line project will also move forward as a strategic measure to ensure a sustainable electricity supply in Sabah.

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