Option to settle over time

Sabah CM suggests Putrajaya make staggered payments in refunding 40 pct revenue to state

KOTA KINABALU: Sabah Chief Minister Datuk Seri Mohd Shafie Apdal hopes the federal government’s delay in refunding the 40 per cent revenue collected from the state is only temporary.

He said although Sabah had a right to the refund based on the Malaysia Agreement 1963 (MA63), the federal government could pay it back in stages due to its financial constraints.

“We are aware of the matter. But we also realise that although there is fi nancial constraints at the federal level, we (Sabah) still have (the responsibility) to pay our debts.

“So, I hope that even if the whole amount (40 per cent) cannot be settled, at least make staggered payment to us,” he told reporters after witnessing Sabah Loan Corporation make its dividend payment to the Sabah government yesterday.

The cor porat ion, which handed over dividend and interest worth RM7 million and RM844,447 respectively to the Sabah government, also paid RM100,041.77 as zakat (tithe) to the Sabah Zakat Centre.

Mohd Shafie was commenting on the recent statement by Finance Minister Lim Guan Eng that the federal government was facing financial difficulties and had to delay refunding the 40 per cent revenue collected from Sabah.

Lim had said the federal government will share its revenue with Sabah and Sarawak only after the country’s financial position improves, but that more time was needed –at least until next year – to come up with a formula on how to share it.

“The federal government will always try to fulfi l the demands and rights of state governments

So, I hope that even if the whole amount (40 per cent) cannot be settled, at least make staggered payment to us. Datuk Seri Mohd Shafie Apdal, Sabah Chief Minister

in line with the constitution,” he was quoted as saying.

Mohd Shafie, who is also Sabah Finance Minister, said the state would have to be realistic and not be too pushy in demanding for the refund as it would put the country in a difficult position.

“We always adopt a prudent approach in management, not only from the financial aspect, and we also practise kinship as a nation. Even in the formation of Malaysia we held discussions. So, discussions must always be held or we will have problems later. If there is trouble at the federal level, it will be just as bad here,” he said.

As such, Mohd Shafie said there was a need to strengthen cooperation between the federal and state governments to jointly develop Sabah and prosper its people.

As for the Sarawak government’s stand that several issues were not negotiable under MA63, including immigration matters, Mohd Shafie said Sabah already had a platform at the federal level where it could voice out its opinion on matters related to the agreement.

“We have held talks at the federal level. A date has been fi xed for the meeting to be called by Prime Minister Tun Dr Mahathir Mohamad. It’s better that we discuss it within (the committee) than outside. That’s the best way to do it,” he said.