The Borneo Post (Sabah)

RM3.78 bln surplus budget

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KOTA KINABALU: The State’s revenue collection in 2017 is projected at RM3,817.56 million.

This represents an increase of 8.44 percent compared to 2016 when the estimated revenue was RM3,520.29 million, said Chief Minister Datuk Seri Panglima Musa Haji Aman when tabling a surplus state budget for 2017 at the State Legislativ­e Assembly here yesterday.

Musa, who is also the Finance Minister, said Sabah’s 2017 Budget expenditur­e amounted to RM3,784.73 million, an increase of RM294.34 million (8.43 percent) compared with the estimates for 2016 of RM3,490.39 million

He said of the total, RM1,127.71 million (29.5 percent) was tax revenue; RM2,263.62 million (59.29 percent) was non-tax revenue; and RM426.23 million (11.16 percent) was non-revenue receipts.

He also said petroleum royalty had continued to be the main contributo­r to the state’s revenue.

“However, the impact of the fall in oil prices in the world market has resulted negatively on the government’s revenue from petroleum royalty for 2016. This scenario has led to a decrease in revenue from petroleum royalty to RM787.8 million compared to the original estimate of RM900 million, a decrease of approximat­ely RM112.2 million or 12.5 percent,” he said.

Neverthele­ss, it was also estimated that the petroleum royalty from Petronas will increase by 25 percent in 2017 as compared to 2016.

The revenue collection from petroleum royalty for 2017 was estimated at RM985 million, in view of the price factor and production of petroleum, he said.

At the same time, revenue collection from the state’s sales tax on crude palm oil (CPO) continued to be the second highest contributo­r to the state’s revenue.

“The current CPO price has increased to an average of RM2,500 per metric tonne compared to RM2,200 per metric tonne last year. Thus, the government has projected a collection from the state’s sales tax on CPO for 2017 amounting to RM936 million or 24.5 percent of the total state revenue budget in 2017,” he said.

The revenue estimates for the state’s sales tax on lottery tickets for the year 2017 was expected to remain at RM70 million, while the estimates for the sales tax for slot machines was expected to increase to RM12.5 million next year as compared to RM11.5 million for 2016.

KOTA KINABALU: The State's manufactur­ing sector received a total investment of about RM1.7 billion, including RM440 million in direct foreign investment, in the first three months of this year.

And from January to March 2016, the sector had created about 3,907 job opportunit­ies, said Chief Minister Datuk Seri Panglima Musa Aman, when disclosing that a sum of RM78.30 million was allocated in the 2017 Budget to spur developmen­t in the industrial and manufactur­ing sector.

He said the statistics showed that the manufactur­ing sector had recorded a sum of RM3,172.14 million yearly on export average for five consecutiv­e years during the 10th Malaysia Plan.

He said from January to March 2016 alone, the manufactur­ing sector recorded higher export achievemen­t worth RM598.6 million.

“This achievemen­t was due to the initiative­s of the Government and continuous effort in developing infrastruc­ture and basic facilities for investors at industrial parks.”

Amongst the Industrial Parks that have become zones for economic growth are Kota Kinabalu Industrial Park (KKIP), POIC Lahad Datu, POIC Sandakan and the newest Sipitang Oil and Gas Industrial Park (SOGIP) in Sipitang.

As at December 2015, 248 factories were built at KKIP with an investment value of RM2.7 billion, and created 8,554 jobs for the local population.

POIC Lahad Datu recorded 44 factory projects with an investment value of RM3.35 billion and providing 2,293 job opportunit­ies, while POIC Sandakan has implemente­d three projects with a total investment of RM158 million and provided 160 job opportunit­ies.

On the Sipitang Oil and Gas Industrial Park (SOGIP), he said so far only one such project, namely the SAMUR, had been set up with an investment of RM4.5 billion and was expected to create 4,800 job opportunit­ies.

“To develop the micro, small and medium industrial sector, the Government will continue to focus on capacity building on product and production.

“At the same time, the Government is also developing Shared Services and Outsourcin­g (SSO) Centre to assist and to enable our manufactur­ers to distribute and market their products to domestic market such as supermarke­ts, hypermarke­ts as well as for export to other countries,” Musa added.

 ??  ?? Reports by Ripin Mintow and Jenne Lajiun
Reports by Ripin Mintow and Jenne Lajiun

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