Sabah Calls for Renewed Commitment to Resolving MA63 Issues

11 February 2026

KUALA LUMPUR: Sabah requires a renewed and firm commitment to the comprehensive resolution of all matters relating to the Malaysia Agreement 1963 (MA63), not only the 16 outstanding issues currently under discussion, but also other unresolved matters that have yet to receive due attention.

The Member of Parliament for Keningau, Datuk Seri Panglima Dr Jeffrey G. Kitingan, said in a press statement today that these include the State’s territorial boundaries under Article 1(3) of the Federal Constitution, additional revenues payable to Sabah and Sarawak under the Tenth Schedule, Article 8 of MA63, and other related provisions.

Dr Jeffrey voiced deep concern over what he described as the slow progress and lack of assertiveness in addressing MA63 issues, particularly the entitlement to 40 per cent net revenue and matters concerning oil and gas. He stressed that public assurances alone are insufficient, calling instead for a concrete and structured action plan grounded in the MA63 framework and the Inter-Governmental Committee (IGC) Report. Failure to act decisively, he warned, risks prolonging these unresolved issues for another 63 years.

“Immediate action is required. For instance, the court’s decision on the payment of the 40 per cent net revenue entitlement, as provided under Articles 112C and 112D of the Federal Constitution, must be implemented without delay,” he said.

He emphasised that these revenues are vital for financing Sabah’s development and meeting the basic needs of its people, including welfare, healthcare and education. They would also enable the Sabah State Government to realise its economic and trade potential more effectively, enhance infrastructure, and ensure proper development for its people.

“Unless we adopt a new, results-oriented approach with firm decision-making and regular, structured meetings, we will continue to go round in circles as we have for the past 63 years,” he stressed.

Dr Jeffrey previously played a key role as the Sabah State Government’s representative in both the MA63 Special Council (MKMA63, 2020–2022) and the current MA63 Implementation Action Council (MTPMA63) prior to the State elections.

He has consistently championed Sabah’s claims, including the 40 per cent net revenue entitlement, oil and gas matters, an increase in petroleum sales tax, cash compensation in lieu of oil royalty, the restoration of maritime jurisdiction rights, and the implementation of the principle of prior consultation as enshrined in MA63.

He continues to serve as a vocal advocate and watchdog for Sabah’s rights, openly articulating the State’s position and criticising the slow implementation of key claims. These include the payment of petroleum sales tax to Sabah, the 40 per cent net revenue entitlement under Articles 112C and 112D of the Federal Constitution, the claim for up to 10 per cent ad valorem export duty on crude petroleum in lieu of royalties, the revision of the development allocation distribution formula to 50:25:25 with unspent allocations remitted to the State Government’s trust account, and the return of jurisdiction over sectors such as energy, ports, tourism and the environment.

A few days ago, the Minister in the Prime Minister’s Department (Sabah and Sarawak Affairs), Datuk Mustapha Sakmud, in reply to a question from the Member of Parliament for Tuaran, Datuk Seri Panglima Madius Tangau, stated that the Government has developed an MA63 Implementation Status Dashboard. The dashboard is integrated online through the official BHESS portal, enabling stakeholders to access accurate, real-time information and serving as a central platform to monitor the implementation of MA63.

Mustapha added that the Madani Government remains committed to ensuring that MA63 is implemented prudently and inclusively, in the true spirit of the Federation of Malaysia, to strengthen the position of Sabah and Sarawak in national development.