Tuaran: The State Government received a RM300 million loan late last year to address its long-standing water supply issues, State Finance Minister Datuk Seri Masidi Manjun confirmed.
Speaking after the launch of the Sentuhan Kasih Rakyat Sabah (Syukur) 2025 programme here on Wednesday, Masidi acknowledged the slow disbursement but assured that tender procurements were now being processed.
“We received it at the end of last year,” he said. “The Permanent Secretary (of the State Finance Ministry) is sorting out the tender procurements, and the Water Department recently submitted tender documents to the Finance Ministry for approval in a meeting next week.”
Recently, Kota Belud MP Isnaraissah Munirah Majilis criticised the Federal Government over the prolonged delay in delivering RM320 million in water aid for Sabah.
Speaking in Parliament, she highlighted that nearly two years after approval, the funds remain undisbursed despite being promised as an “immediate” measure.
The project, approved in June 2023 with an expected completion time of six to eight months, has yet to begin, with approval now expected only by mid-2025.
Munirah also revealed that the allocated amount had been reduced to RM300 million, with only RM100 million in new funding, while RM200 million was already part of the 12th Malaysia Plan.
She expressed frustration that what was initially announced as aid had become a loan the Sabah Government must repay.
“This is a basic necessity, not a luxury project,” she said, questioning why the aid was delayed and reclassified as a loan.
She also criticised Sabah’s slow project implementation, pointing out that in 2024, only 20 per cent of federal development funds allocated to the State were spent.
Comparing Sabah to Sarawak, she noted that Sarawak had hired 300 engineers to speed up projects, while Sabah had only recently advertised for 32 engineers and other positions.
Munirah urged both Federal and State governments to accelerate infrastructure development, saying Sabah could not afford to move at the same pace as other states.
Sabah has long faced water supply issues due to ageing infrastructure, inadequate funding and bureaucratic delays, leaving many areas struggling with frequent disruptions.