Cabinet To Decide Tomorrow On Sabah 40pct Ruling No Reshuffle Talk

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The cabinet will decide tomorrow whether to appeal a High Court decision affirming Sabah's right to 40 percent of federal revenue collected from the state.
However, Prime Minister Anwar Ibrahim said they would not be discussing a cabinet reshuffle.
In a speech at the Malaysia Digital roadshow in Tawau, Anwar said the cabinet will hear a briefing from the Attorney-General's Chambers on whether the government should appeal.
Anwar indicated he may choose not to proceed with an appeal.
ADS“For me, it is acceptable even if we choose not to appeal. But the final decision will be made after consulting all cabinet members,” he was quoted as saying by Bernama. Anwar later told reporters that he was inclined not to appeal.
However, complying with the court order to negotiate with Sabah on the payout may only take place after the Sabah election on Nov 29.
“The court has directed us to negotiate, and I said that is acceptable (and) we will negotiate. But as of today, who do we negotiate with?
“The (Sabah) government is a caretaker government. After the (state) election (on Nov 29) and the formation of the new government, I will instruct that negotiations be conducted immediately,” he added.
Shift in tone
Anwar’s remarks today were a shift in tone compared to when he was confronted about the 40 percent entitlement yesterday, where he took the position that the federal government was already allocating more to Sabah than federal revenue collected from the state.
The federal allocation is RM17 billion, whereas revenue collection from Sabah is RM10 billion.
However, critics pointed out that under Article 112C of the Federal Constitution, the 40 percent revenue share is supposed to be paid in the form of a special grant - which Sabah would have full control over.
In Budget 2026, Anwar said the special grant for Sabah would be RM600 million.
Based on the RM10 billion figure cited by Anwar, the 40 percent revenue special grant would be RM4 billion.
Anwar has repeatedly cited the RM600 million as proof of how his government has allocated more to Sabah than any past administration.
"If the opposition keeps criticising us, I want to ask: what exactly are you angry about? Under the previous government, only RM56 million was allocated. We increased it to RM600 million, and yet you are still unhappy?” he reiterated today.
ADSReshuffle rumours
When asked by reporters whether a cabinet reshuffle would be discussed tomorrow, Anwar replied in the negative.
"We will not be discussing a reshuffle at the cabinet meeting," he said.
Yesterday, Agriculture and Food Security Minister Mohamad Sabu said that Anwar would be briefing ministers about the reshuffling rumours on Tuesday.
A reshuffle is expected after Upko president Ewon Benedick quit as a federal minister over the 40 percent entitlement, while Investment, Trade, and Industry Minister Tengku Zafrul Abdul Aziz will leave the cabinet in early December after his final term as senator expires.
Earlier this year, the cabinet also suffered from the resignations of two ministers - Rafizi Ramli and Nik Nazmi Nik Ahmad - who quit after failing to secure a leadership position in the PKR party polls.
Anwar plugged these gaps by having two ministers - Finance Minister II Amir Hamzah Azizan and Plantation and Commodities Minister Johari Abdul Ghani - shoulder the vacant economy and natural resources and environmental sustainability portfolios, respectively. 
- Mkini

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