Budget 2026: RM6 Billion Allocation for Sarawak Highlights Federal Commitment

Kuching: An allocation of RM6 billion to Sarawak in Budget 2026 reflects the MADANI Government's determination to strengthen the relationship between federal and state governments, thus ensuring a more balanced development across the country.

According to BERNAMA News Agency, Sarawak Premier Tan Sri Abang Johari Tun Openg stated that the move by the federal government under the leadership of Prime Minister Datuk Seri Anwar Ibrahim demonstrates its concern for the development of the state. He expressed gratitude for the federal government's allocation, emphasizing that it could further strengthen federal-state relations and the direction of Sarawak's economic development.

In Budget 2026, announced yesterday, Anwar revealed that Sabah and Sarawak would receive the highest development allocations of RM6.9 billion and RM6 billion respectively. This marks a significant increase from the RM4.4 billion and RM2.9 billion allocated in 2022. The increase is part of the government's effort to bridge the gap in basic infrastructure development between Sabah and Sarawak and other states in the Peninsula, aligning with the Malaysia Agreement 1963 (MA63).

Moreover, the government maintained a special grant allocation of RM600 million under MA63 for the next year. Additionally, RM350 million has been allocated to upgrade the road pavement structure along the red line section between Durin and Salim in Sibu. These efforts are part of public infrastructure projects in Sabah and Sarawak, totaling RM48 billion.