KUCHING: Sarawak is expected to collect more than RM5.3 billion in state sales tax (SST) revenue this year, reflecting the state’s growing financial strength and the success of its efforts to reclaim its rights under the Malaysia Agreement 1963 (MA63).
Deputy Premier Datuk Amar Dr Sim Kui Hian said the increasing revenue would enable the state government to continue investing in key sectors such as education, healthcare and infrastructure, benefiting communities across Sarawak.
“SST collections have risen steadily over the years. In 2025, we collected RM3.9 billion through SST, and this year we expect the figure to exceed RM5.3 billion,” he said.
He said this in his speech at the 42nd anniversary dinner of the Sarawak United Peoples’ Party (SUPP) Pending Branch and the party’s 67th anniversary celebration at Seafood Shangri-La, Rooftop, CityOne Megamall, on Wednesday night (June 4).
Dr Sim noted that the tax, which initially faced scepticism and resistance from certain quarters, has since become one of the state’s most important revenue sources.
“The revenue collected is returned to the people through investments in education, healthcare services and infrastructure development. These are areas that directly improve the quality of life of Sarawakians,” he said.
Introduced as part of Sarawak’s strategy to strengthen its fiscal position, SST has become a key pillar of the state’s revenue framework, allowing the government to fund development programmes while reducing its reliance on federal allocations.
Dr Sim said the achievement was the result of Sarawak’s persistent efforts to secure greater recognition of its rights under MA63, particularly in areas related to economic management, healthcare and education.
“Today, more people understand the significance of MA63 because many researchers, historians and advocates have spent years studying documents and highlighting Sarawak’s rights. Their efforts have helped ensure these rights are recognised and respected,” he said.
He added that growing public awareness and support for MA63 have strengthened Sarawak’s position in pursuing greater autonomy, stronger financial sustainability and long-term economic development.
According to Dr Sim, these developments will help ensure that future generations of Sarawakians continue to benefit from improved public services, better infrastructure and expanded opportunities for growth and prosperity.
