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PM to announce interim Sarawak payment ahead of Malaysia Day

Prime Minister Anwar Ibrahim will unveil an interim financial payment for Sarawak, signalling the federal government's commitment to honouring the spirit of special provisions for the state despite constitutional constraints.

LSN Malaysia · 11 September 2026

PM to announce interim Sarawak payment ahead of Malaysia Day

Prime Minister Anwar Ibrahim is set to announce an interim payment for Sarawak ahead of Malaysia Day celebrations, underscoring the government's willingness to address the state's financial interests outside conventional constitutional frameworks.

While Sarawak does not fall under Article 112D of the Federal Constitution, which governs special grants and revenue-sharing arrangements, Anwar indicated that the federal government would apply the underlying principles of that provision to the state's case.

"Although the state is not covered under Article 112D, the same spirit should be taken into consideration," the Prime Minister said, suggesting a pragmatic approach to Sarawak's fiscal position.

The announcement reflects ongoing efforts by the federal government to strengthen ties with Sarawak, one of Malaysia's largest states by land area and a significant contributor to the nation's economic output. The interim payment is expected to address longstanding concerns regarding Sarawak's revenue allocation and federal-state fiscal relations.

The move comes as Malaysia Day, which commemorates the formation of the Malaysian federation on September 16, provides an occasion for the government to demonstrate commitment to constitutional principles and inter-state cooperation.