Sabah’s government respects a court stay on reviewing its 40% revenue entitlement but urges continued negotiations with the federal government
KOTA KINABALU: The Sabah state government respects the Court of Appeal’s decision to grant a stay on a High Court order concerning its special grant.
The stay pauses a mandate for the federal government to review and agree on paying Sabah’s 40% net revenue entitlement within 180 days, pending an appeal.
Chief Minister Datuk Seri Hajiji Haji Noor said the stay order is procedural and maintains the status quo until the federal appeal is heard.
“It does not set aside the existing High Court orders granted,” he clarified.
Hajiji stressed that negotiations with the federal government should proceed in good faith despite the court proceedings.
He noted the federal government does not dispute the 40% formula or the need for a review.
The Chief Minister reiterated the state’s opposition to the stay of the High Court order but respects the court’s decision.
“This is an ongoing process, and the State Government will continue to discuss the matter and seek a solution,” he said.
Hajiji pointed out that the federal government did not appeal a 2025 High Court ruling affirming Sabah’s constitutional right to 40% of net federal revenue.
He added that Prime Minister Datuk Seri Anwar Ibrahim has pledged to honour this right.
The tentative hearing dates for the federal government’s appeal are set for between October 27 and 30.
An e-Review to confirm the actual hearing date is fixed for April 13.