The 2026 federal budget has provided key initiatives that will directly benefit Sabahans, particularly the record RM6.9 billion allocated to the state, says a DAP MP.
Kota Kinabalu MP Chan Foong Hin said Putrajaya‘s special grant to Sabah will continue to be fixed at RM600 million for 2026. It was first doubled to that amount this year from RM300 million.
He said the budget also allocates RM1 billion for various water projects, including the installation of new pipes in Tawau and replacement of old ones in Kota Kinabalu, Penampang and Putatan. This is despite management of the utility falling under the state government’s purview.
Chan, who is Sabah DAP deputy chief, said RM1.2 billion was also set aside to ensure electricity supply in the state, with a further RM765 million to be spent on the “Southern Link”, a 330km power transmission project.
The government also set aside RM1.67 billion for the completion of the Pan Borneo Highway in Sabah, while new airports will be developed in Kota Kinabalu and Tawau.
Some RM39 million will be spent on the second phase of flood mitigation projects in Sabah.
Chan also said three new schools will be built, namely SK Sri Apas Jaya in Tawau; SK Sabandar in Tuaran; and SK Alam Mesra in Kota Kinabalu.
“An allocation of RM80 million will be spent on rebranding Queen Elizabeth Hospital II as the Sabah Heart Centre, while a new government clinic will be built in Nabawan.
“The government will also support economic activities at our borders with Indonesia by upgrading basic infrastructure, including construction of a new road from Kalabakan to Simanggaris, Indonesia stretching 28km,” he said in a statement.
Chan, the DAP policy director, also hailed the decision to replace the Tun Sharifah Rodziah static offshore forward operating base with a multi-purpose command platform from June 2026.
He said all these measures reflected the unity government’s prudence and intention to develop Sabah, expressing confidence it would spur the state’s economy and boost the people’s wellbeing.
