Channel Unused Federal Funds Into A Trust Fund Sabah Tells Govt

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Chief minister Hajiji Noor said Sabah received RM5.7 billion in development allocations from Putrajaya last year, of which only RM4.4 billion was spent due to problems with the implementation of projects. (Bernama pic)KOTA KINABALU: The Sabah government has proposed that the federal government channel excess development allocations for the state into a trust fund, says chief minister Hajiji Noor.
He said this is to ensure that allocations provided by Putrajaya for development projects in Sabah do not “expire” if they are not spent within the current year.
“The state government will ensure allocations in the trust fund are used efficiently, according to the purpose of the allocation,” he said in a reply to an oral question from Darell Leiking (Warisan-Moyog) at the Sabah state assembly.
Ads by KioskedLeiking wanted to know what the Sabah government was doing to ensure that allocations from the federal government were fully spent, since the allocation in 2022 was very large.
Hajiji said the establishment of a trust fund was one of the best methods to ensure that Sabah does not lose out from the allocations not being spent.
Once the funds are put in a trust fund, they can be used even though they have technically “expired”, Hajiji said.
He said Sabah received RM5.7 billion in development allocations from Putrajaya last year, of which RM4.4 billion had been spent.
He added that the remaining funds could not be spent due to several implementation issues, including those related to contractors, utility, land and management, as well as issues with the implementing agencies. - FMT

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