Bigger state budgets under Abang Johari

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By Jane Alia 

THE Sarawak government, led by the Gabungan Parti Sarawak (GPS), never hesitates to allocate large sums of money for development under every state budget.

In fact, since Datuk Patinggi Tan Sri Abang Johari Tun Openg took over the leadership in 2017, Sarawak has been one of the states with the highest budget starting with the one for 2018.

For that year, Abang Johari proposed a total of RM8.226 billion with the aim of continuing to place greater emphasis on developing infrastructure and amenities such as roads, drainage, telecommunications, electricity and water supplies to improve the people’s quality of life and at the same time attract higher investments.

“A sum of RM5.745 billion or about 70 per cent of the total budget is proposed for development while an amount of RM2.481 billion, or 30 per cent of the total budget, is proposed for operating expenditure.

“The state government is committed to intensifying implementation of programmes and projects to further accelerate development.

“This provision is higher, compared to RM2.65 billion in 2016 and RM2.982 billion in 2017. Our continual efforts in rural development are vital towards achieving our development objective of opening up greater opportunities in the rural and remote areas for the economic prosperity of our rural community,” Abang Johari said when tabling the 2018 State Budget proposal in the State Legislative Assembly (DUN) sitting on Nov 8, 2017.

According to him, out of the total provision for development expenditure, RM5.451 billion would be funded by the state while RM294 million would be financed by the federal government through reimbursable loans and grants.

Meanwhile, when tabling the 2019 State Budget on Nov 5, 2018, the Sarawak government presented its largest ever state budget of RM11.9 billion.

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Abang Johari said the budget was a development-based and rural-focused budget to stimulate a higher level of economic activity and economic progress for Sarawak.

“A substantial allocation of RM9.076 billion is provided for the development expenditures. This represents about 76 per cent of the total budget while 24 per cent or RM2.841 billion is for operating expenditure,” he said.

He added that out of the 76 per cent, RM8.813 billion would be funded by the state, while RM260 million would be financed by the federal government through reimbursable loans and grants.

The development expenditure would finance various programmes and projects under the 11th Malaysia Plan, including socio-economic rural transformations as well as other digital initiatives.

Apart from that, Abang Johari also announced a new policy whereby every new-born Sarawakian will be given an one-off incentive of RM1,000, regardless of ethnicity, religious belief, or social status, effective Jan 1, 2019.

According to him, the incentive could only be withdrawn upon the child reaching 18 years old, as it was meant to help finance their studies, or as capital to pursue their career.

For the 2020 State Budget, Abang Johari proposed a sum of RM9.891 billion with the aim of accelerating development for the wellbeing of all Sarawakians.

He said of the sum, RM6.597 billion would be for development expenditure, while the remaining RM3.294 billion, for operating expenditure.

“The 2020 State Budget continues with the six key strategic thrusts aimed at stimulating the growth of the state economy towards an inclusive, sustainable and equitable development for all spectrums of society,” he said on Nov 4, 2019.

The six key strategic thrusts are development-biased and rural-focused budget; intensifying the state development agenda; digital economy as the key enabler of economic transformation; investment-driven economic growth; private sector as the main engine of economic growth; and enhancement of the service delivery system.

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“In line with the state government’s initiatives to transform the rural areas and ensure that no one will be left behind in this great effort, the 2020 Development Budget will continue to be rural-biased,” he added.

Meanwhile, themed ‘Reinvigorating the Economy towards a Resilient, Caring and Inclusive Society’, the 2021 State Budget allocated RM9.832 billion of which RM3.832 billion was for operating expenditure, while a sum of RM6 billion was proposed to be appropriated for the Development Fund Account to finance the implementation of various development programmes and projects.

The budget continued with eight key strategic thrusts aimed at introducing more robust medium and long-term measures that would be implemented to address the economic and social challenges brought about by the COVID-19 pandemic, paving the way for economic recovery in 2021 and beyond.

“The priority of my administration is to provide additional resources and assistance, including for the vulnerable section of our society, speed up development in both urban and rural areas, and enhance the provision of infrastructure and utilities.

“Therefore, the 2021 State Budget is framed across eight strategic thrusts aimed at steering and reinvigorating the economy towards recovery and sustainable growth.

“This approach will enable us to build a resilient society, strengthen social inclusivity and enhance environmental sustainability,” he said.

He added the eight strategic thrusts anchoring the 2021 State Budget were steering economic recovery, securing the people’s wellbeing, ensuring food security and transformation of agriculture production, strengthening social security and advancing the digital economy.

The others were human capital development, promoting environmental sustainability, and enhancing government service delivery.

For the 2022 State Budget, Abang Johari announced that the state had allocated a sum of RM10.646 billion.

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He said RM4.046 was for operating expenditure and RM6.6 billion for development fund to finance the implementation of various development programmes and projects.

He added the 2022 budget was aimed at accelerating economic growth, stimulating private investments, generating jobs through public investments and building a more competitive and income-generating economy.

“Sarawak’s economy is projected to grow by between 5 to 6 per cent next year, with the reopening of global economies and domestic businesses.

“It is critical at this juncture, given the devastating impacts of the COVID-19 pandemic on the state economy and the livelihood of the people, that the state government embark on a fiscal expansionary policy to boost productivity and revive the economy.

“I am convinced with this direction, we will ride through this challenging period to become stronger and come back better,” he said when delivering his 2022 Sarawak Budget speech at a special meeting on Oct 12, 2021.

Under the 2022 budget, he said, RM372 million would be allocated to implement various incentives and welfare aid.

“A new assistance scheme – the Housing Deposit Assistance Scheme – will provide cash aid up to RM10,000 to the B40 and M40 home buyers for deposit payments for affordable housing projects. A sum of RM10 million will be allocated to benefit about 1,200 home buyers.

“Apart from that, the government has also decided to continue with the Bantuan Khas Sarawakku Sayang (BKSS) covering the first six months of 2022 with the introduction of BKSS 8.0 worth RM285.47 million,” he added.

He also stated that RM4.803, or 64 per cent of development expenditure, will be allocated for the implementation of various rural infrastructure projects and people-centric programmes to increase job and business opportunities.

 

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