More Sara aid rests on higher government revenue

LocalBusiness & Finance
25 Jun 2026 • 8:41 AM MYT
Daily Express
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More Sara aid rests on higher government revenue

Kota Kinabalu: Any increase to the Sumbangan Asas Rahmah (SARA) entitlement hinges on the Government’s ability to grow revenue and cut leakage from the subsidy system, said Finance Minister II Senator Datuk Seri Amir Hamzah Azizan.

“When the returns to the government increase, we can then look at whether we can improve it further. Our effort now is to increase revenue and reduce leakage.

“The more we reduce leakage, the more room we have, and we can look at whether to increase when we have sufficient revenue,” he said during a ramah mesra session with SARA recipients in Pekan Manggatal, here.

He said the government has moved away from blanket subsidies toward targeted assistance, and any future enhancement of SARA would follow that principle.

Sabah now has 1,493 registered SARA outlets, spanning both urban centres and interior communities.

“Not only in the big towns, but right into the villages and interior, because our effort is to make it easier for those entitled to SARA to access it,” he said.

Nationally, the scheme covers more than 13,500 outlets, with over 6,500 being small retail shops, and the government is targeting 10,000 small retailers across the country.

To help smaller operators join the programme, the Ministry of Finance is working to provide point-of-sale (POS) systems to shops that lack their own.

“Sometimes when we visit small shops, they do not have a POS system. So, we are looking at providing one to make it easier for them and reduce the investment barrier,” he said, adding that trial systems were already underway.

He also said more than 150,000 product types are available across SARA outlets nationwide, including frozen goods such as nuggets and frozen chicken added in recent months. Fresh produce has not been included due to quality control concerns.  “Wet goods carry a bit of risk. For now, we only include items where quality assurance is satisfactory,” he said.

Meanwhile, the call for a higher SARA entitlement resonated strongly among recipients at the venue.

Marina, in her 50s, said her allocation rarely lasted more than two weeks.

“At least the SARA assistance gives us something and lightens our expenses a little. We do hope the government can consider increasing the assistance.

“For those older and no longer have the energy to work, the assistance would really help,” she said, adding that she typically used her allocation on rice, sugar, salt and toiletries.

Another recipient, Rusiah, said the aid helps cover basic kitchen staples such as sugar, salt, rice and cooking oil, which she say can last about a month or so.

“It is not a lot, but it helps during difficult times,” she said.

Yosria, another recipient, said the allocation covered flour, rice, eggs, sugar, cooking oil and detergents but left nothing for school-related expenses.

He hopes the government will extend the scheme’s coverage and continue raising it.

“From having the SARA aid, whatever daily income we earn can also be set aside for the children’s schooling,” he said.

Mainah, registered under the single-person category, said her classification did not reflect her actual household burden.

A single mother supporting five grandchildren as well as a daughter who had returned home after a divorce, she urged the government to look beyond official registration status when assessing need.

“Even though I am registered as single, it does not mean I have no other responsibilities. I hope the government can look at situations like mine and consider a small increase for those registered as single but still supporting others,” she said.

Her allocation went toward cooking oil, rice and eggs, which she acknowledged lasted only about a week but said she was grateful for nonetheless.

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