KUALA LUMPUR, Oct 9 — The MADANI government has finalised 12 matters under the Malaysia Agreement 1963 (MA63), Prime Minister Datuk Seri Anwar Ibrahim said.
These included establishing permanent representatives from Sabah and Sarawak on the Inland Revenue Board, as well as handing over Bintulu Port, which is now owned by Sarawak.
“Another matter that has been finalised is the handover of MASWings to Sarawak, which has been rebranded as AirBorneo, while the federal government continues to provide RM209 million in subsidies benefiting 820,000 passengers in the interior.
“In addition, regulatory powers over electricity have been handed over to Sabah, while the federal government continues to provide RM600 million to ensure the continuity of electricity supply,” he said during the tabling of Budget 2027 in the Dewan Rakyat today.
On the Special Grant for Sabah and Sarawak, Anwar said the payment would be settled before the end of the year, with negotiations with both states continuing to finalise a fair and sustainable annual formula.
“For decades, the Special Grant has not kept pace with the development needs of Sabah and Sarawak. The MADANI government has increased the Special Grant three times, with the latest interim rate amounting to RM1.5 billion.
“The MA63 Agreement should be viewed as part of the National Covenant (a national responsibility that must be addressed at the national level),” he said.
