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Sabah will persist in fight for 40% grant revenue: state AG

Datuk Nor Asiah.the State’s 40% special grant is a non-negotiable right, calls on federal government to respect this constitutional obligation

KOTA KINABALU : Sabah upholds its official demand for the federal government to fulfil its legal and constitutional obligations regarding the 40% special grant, regardless of the Court of Appeal’s decision, said the state attorney-general (AG).

Datuk Nor Asiah Mohd Yusof said this financial entitlement, which is rooted in the pre-formation negotiations of Malaysia and enshrined in the Federal Constitution, is a non-negotiable right of Sabah. 

In a statement Sund6,  she said that the Chambers would not stop safeguarding Sabah’s constitutional rights, particularly concerning the 40% net revenue special grant as enshrined in Article 112C and 112D of the Federal Constitution.

Nor Asiah echoed the sentiments expressed by Sabah Chief Minister Datuk Seri Hajiji Md Noor in his statement on Friday (May 17), affirming that the Sabah government remains committed to safeguarding the state’s constitutional rights regarding the current revenue-sharing formula. 

“It is imperative for the federal government to honour and respect these rights.

“The state AG’s Chambers has been actively participating in all discussions related to this matter together with the Sabah Finance Ministry and the federal government.

“Our stance is fully in line with the Sabah chief minister’s recent statement affirming the state’s determination to uphold its constitutional rights and will persist in the fight for all Sabah’s rights as outlined in the Malaysia Agreement 1963,” she said.

Nor Asiah said the state AG’s Chambers have been instrumental in these negotiations, ensuring that Sabah’s legal and constitutional claims are effectively represented.

“Our consistent efforts are focused on ensuring that the federal government adheres to the revenue-sharing formula outlined in the Federal Constitution. This includes seeking compensation for the “lost years” from 1974 to the present when no review of the special grant took place,” she said.

On the legal proceedings initiated by the Sabah Law Society (SLS), Nor Asiah said the Chambers respects SLS’ right to seek judicial review on the matter, as public interest litigation is vital for upholding the rule of law and ensuring fair justice.

“The state AG’s Chambers will take necessary measures to correct any misguided statement that deviates from the state’s clear and formal position.

“Irrespective of the outcomes in the Court of Appeal, Sabah maintains its official demand that the federal government meet its legal and constitutional obligations concerning the special grant.

Yesterday, former assemblyman Datuk James Ligunjang questioned Nor Asiah’s silence despite the conflict surrounding the state’s intervention in the suit brought against Putrajaya by the SLS, saying that the state AG should be at the forefront in advocating for Sabah’s rights.

Last Thursday, the Court of Appeal adjourned its decision on the federal government’s appeal against the leave granted to the SLS to seek a judicial review regarding the state’s 40% grant revenue.


This statement comes after Tengku Datuk Fuad Ahmad, who claimed to be acting on behalf of the state government, applied to be an intervener and co-appellant in the 40% special grant provisions court case between the SLS and the federal government.

This has left many questioning Fuad’s capacity to represent the Sabah government, as well as the Sabah government’s intention to intervene in the appeal. –  Scoop

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