Malaysia Oversight

Court ruling on Sabah’s 40% revenue share is a historic win for MA63, say Sabah leaders

By theStar in October 18, 2025 – Reading time 3 minute
Court ruling on Sabah's 40% revenue share is a historic win for MA63, say Sabah leaders



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KUALA LUMPUR: Leaders in Sabah continue to express their support for the High Court decision granting the state the right to its 40% net revenue owed by the federal government, calling it a landmark decision that must be fulfilled.

Sabah Pakatan Harapan () in a statement, said that this good news is a victory for the state after 48 years of this right not being reviewed.

The party said that the return of 40% is not just a financial issue but a sign of justice and respect towards the Malaysia Agreement 1963 (MA63).

“We urge the new state government to immediately get to work and meet with their federal counterparts within 90 days, as instructed by the Court, and to ensure the implementation of this 40% within the stipulated time frame,” it said.

“Sabah Pakatan Harapan affirms our commitment to be the people’s voice in ensuring that this federal right will no longer be delayed by bureaucracy or politics,” Sabah Pakatan Harapan added.

It believes that the return of this revenue would strengthen the state coffers and allow for investment in infrastructure, education, health as well as the welfare of Sabahans.

“Sabah Pakatan Harapan will continue to stand firm behind Prime Minister Datuk Seri Ibrahim and continue to fight for MA63 rights,” the party said.

Bersatu vice president Datuk Seri Ronald Kiandee called this an important and historical decision which had long been awaited by the people of Sabah.

“It is in line with Sabah’s claims for its rights that had long been denied, as stipulated under the Federal Constitution,” he said.

“In the spirit of the formation of the federation of Malaysia, it is best if the Attorney General’s Chambers (AGC) does not file an appeal towards this High Court decision,” he stated.

On Friday (Oct 17), High Court Justice Datuk Celestina Stuel Galid allowed for another review of the 40% entitlement and for the federal government to pay what is owed to the state from 1974 to 2021.

The Court also called for the review to be made within 90 days and to reach an agreement within 180 days from this order.

Likewise, a non-governmental organisation has also chimed in its support over this landmark ruling.

The National Consumer Foundation Sabah extended its heartfelt applause to the people of Sabah and to the Sabah Law Society for this important judicial victory.

“The High Court’s ruling restoring Sabah’s constitutional right to receive its 40% revenue share, and ordering restitution for the past 48 years, is a landmark affirmation of MA63 and federal fairness.

“This decision is not just a win for Sabah – it is a win for justice, constitutional integrity, and equal partnership in Malaysia,” said the Foundation.

The Foundation reaffirmed its commitment to supporting equitable rights for all states under MA63 and called on the Federal Government to fully comply with this ruling without delay.

It hopes this serves as a precedent for other states whose rights under MA63 have long been under-recognised.

“Congratulations again, Sabah. May this decision usher in a new era of fairness, trust, and strengthened federal-state relations,” it stated.

 



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