KOTA KINABALU – It is disappointing to see an 8.8% drop in dividends and contributions by Sabah statutory bodies and state-linked companies compared to last year, said Chief Minister Datuk Seri Hajiji Noor.
“The state statutory bodies and GLCs need to beef up efforts to generate more income in the years ahead,” he said in a speech that was read out by state Finance Minister Datuk Seri Masidi Manjun at an event here today.
In total, state statutory bodies and GLCs paid RM138.7 million in dividends and contributions to the Sabah government as of October 30 this year.
In his speech, Hajiji said the boards of the statutory bodies and GLCs must exercise good corporate governance to spur economic growth, besides enhancing strategic planning.
In this respect, he singled out Sawit Kinabalu as a benchmark for all the state GLCs and statutory bodies to emulate, for it had shown strong resilience and competitiveness in the industry despite facing uncertain palm oil commodity prices.
“At the same time, each agency must be smart and thrifty in their spending as well as prioritising a good return to protect the company’s welfare, maintain performance and contribute to the state’s socio-economic development.”
Among those paying dividends to the state government was the “youngest” state GLC, SMJ Sdn Bhd, which paid RM50 million.
The other agencies paying dividends were Sabah Credit Corp (RM17 million), KKIP Sdn Bhd (12 million), Sabah Energy Corporation Sdn Bhd (RM12 million), Innoprise Corporation Sdn Bhd (RM3.568 million), Desa Plus Sdn Bhd (RM2 million), Sabah International Dairies Sdn Bhd (RM1 million), Borneo Development Corp (RM355,320), Sabah Air Aviation Sdn Bhd (RM305,210) and Keningau Agro-Venture Sdn Bhd (RM500,000).
Six agencies contributed to the state government – the Sabah Rubber Industry Board with RM1.5 million; the Sabah Ports Authority, Sabah Forest Development Authority, Rural Development Corp, and Sabah Land Development Board, each contributing RM1 million; and Ko-Nelayan, contributing RM500,000.
Meanwhile, Hajiji reminded board members of state agencies to always base their decisions on the Companies Act, current financial enactments or government circulars.
He added that the state statutory bodies and GLCs must support the state government’s aspiration to develop Sabah’s economy holistically. – October 31, 2023