KUCHING: The Federal Government will increase the special grants to Sabah and Sarawak under Article 112D of the Federal Constitution based on a suitable formula, says Prime Minister Datuk Seri Anwar Ibrahim.
As the formula is still being finalised, he said Sarawak would receive RM300mil for a start, up from RM16mil previously, while Sabah's amount would be increased from RM26mil to RM260mil.
"We have to look at the special grants in a reasonable and fair manner. Over the years Sarawak was only given RM16mil, which I don't think is reasonable. Under Article 112D, Sarawak and Sabah are entitled to annual special grants from the government, starting with RM16mil and RM26mil respectively. Anwar said he agreed to Sarawak Premier Tan Sri Abang Johari Tun Openg's proposal for a clear formula to determine the amount of the grant."The formula needs to be fine-tuned so that it can be used ," he said.
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