KOTA KINABALU: Sabah’s annual budget continues to increase with RM4.088 billion proposed expenditure against an estimated revenue of RM3.828 billion for next year.
Chief Minister Datuk Seri Musa Aman in unveiling the state’s 2013 Budget yesterday, said Sabah was prepared to go for a bigger budget, thanks to the record high projected revenue for next year coupled with a strong consolidated revenue account of more than RM3.
“The State’s development momentum must not only be maintained but ought to be intensified. Therefore the State Barisan Nasional (BN) has provided a higher allocation for the year 2013 as compared to 2012 Budget,” he said at the Assembly’s budget sitting yesterday.
The budget themed “Consolidated Efforts Towards Continuous Prosperity Of The People” represents an increase of about RM40 million from this year’s RM4.048 billion supply expenditure.
The Chief Minister underlined six key objectives to be achieved under the budget, including strengthening the state’s financial position, to improve basic infrastructure and public amenities and to accelerate the achievement of the Halatuju.
The budget was also aimed at developing valuable and high quality youth and human capital, to eradicate poverty and improve the quality of life of the people and to achieve balanced regional development.
Musa, who is also the Finance Minister, said prudent spending and efficient expenditure management will see a reduction by RM32.92 million or 2.94 per cent in recurrent expenditures under the 2013 Budget, as compared to RM1,120.85 million for 2012.
He said RM2,337.38 million from next year’s allocation will go to special expenditures, an increase of RM33.61 million or 1.46 per cent compared to RM2,303.77 million for 2012.
According to him, the increase among others was due to an increase in contribution to the development fund from RM500 million in 2012 to RM800 million in 2013, which is the largest contribution ever made by the state government.
The emoluments estimates proposed for next year was RM663.17 million, an increase by about 6.34 per cent or RM39.51 million compared to RM623.66 million this year mainly due to the adjustments of salaries of state civil servants implemented in 2012.
For development, RM2.42 billion will be provided, with thw state contributing RM1 billion and RM1.42 billion from the federal government.
The federal contribution consists of reimbursable grants totaling RM35.4 million, loans RM186.07 million, and direct grants amounting to RM1.19 billion.
“The bulk of the development estimates in 2013 amounting to RM2.07 billion or 85.71 per cent of the total amount will be allocated to the economic sector.
This will include funding for public utilities totaling RM988.23 million, RM763.7 million for infrastructure and communication and RM234.9 million for agricultural and land development,” he said.
Out of the RM988.23 million allocated for public utilities, Musa said RM480.67 million will be allocated for water supplies, RM400 million for rural electrification and RM95.56 million for sewerage projects.
The balance of RM12 million will be used for capital contribution related to water and electricity projects, he added.
Under next year’s budget, the infrastructure and transportation sectors will recieve an injection of RM763.7 million, out which RM742.95 million has been set aside for roads and bridges, RM13.5 million for ports and harbours and RM7.25 million for railways.
Considerable allocation was also given for agriculture and land development, where RM72.72 million will be used for drainage and irrigation, RM42.06 for agriculture extension projects and RM34.87 for veterinary services.
A sum of RM291.16 million or 12.03 per cent of next year’s budget for development was set aside for the social sector, said Musa.
Of the amount, a sum of RM181.92 million was for community and rural development under the Ministry of Rural Development and the Chief Minister’s Department.
Another sum of RM71.66 million was allocated for the construction and upgrading of religious buildings, sport complexes and cultural centres.
The general administration sector was provided with a sum of RM29.75 million or 1.23 per cent of the development expenditures which is mainly dedicated to finance projects undertaken by the Land and Survey Department and for the construction of government buildings.
In line with their individual roles, responsibilities and functions as the Government’s main implementing agencies, the distribution of the proposed 2013 Supply and Development budget for the ministries are as follows:
(Ministry of) Development Supply
(RM million) (RM million)
– Finance 1,873.57 27.00
– Infrastructure Development 716.50 368.51
– Chief Minister’s Department 443.97 203.43
– Agriculture and Food Industry 306.88 156.13
– Social Development and 139.49 8.50
Consumer Affairs
– Tourism, Culture and 108.25 17.53
Environment
– Local Government and 87.92 32.20
Housing
– Resource Development & 87.89 6.93
Information Technology
– Rural Development 68.00 103.92
– Youth and Sports 58.34 29.60
– Industrial Development 10.38 21.26
– Expenditure not included
in Ministerial Portfolios 23.63
– Charge Expenditure 143.66
– Contingency Reserves 25.00
Total 4,088.48 1,000.01