In tabling the budget themed “Reinvigorating the Economy towards a Resilient, Caring and Inclusive Society”, he said it was geared towards the state’s aspirations to become a high-income economy by 2030.
“This is a development-biased budget, with RM6.3 billion or 62% allocated for development expenditure and the remaining amount to be utilised as operating expenditure.
“A total of RM4.25 billion will be set aside for rural areas, with the remaining RM2.05 billion in urban areas in order to bridge the development gap between the major towns and rural villages,” he said.
The state is allocating RM384 million to implement the Autonomous Rapid Transit to address traffic congestion in Kuching and Samarahan.
To assist Sarawakians who fall under the low-income group, Abang Johari said, the state government is introducing a new Sarawak rental assistance scheme next year.
“Under the scheme, eligible applicants will receive a rental assistance of RM200 a month for up to a maximum period of 36 months.
“We are allocating RM48 million for the scheme that is expected to benefit 20,000 households,” he said.
Among the other items listed in the state budget are RM1.15 billion for a coastal road network, RM494 million for a second trunk road, RM252 million for tourism programmes, RM93 million for affordable housing projects in Kuching, Sibu, Mukah, Betong and Miri, RM1.12 billion for agriculture transformation, RM10 million for the funding of secondary students’ tuition fees, RM50 million for the Sarawak Micro Credit Scheme, and a RM19 million special relief fund to provide interest-free loans to small- and medium-sized enterprises.
He also announced a RM20 million allocation for the state’s first international school to be located in Kuching.
He said the budget is expected to have a surplus of RM180 million, based on the state’s estimated revenue coming up to RM10.01 billion.
On the state’s performance so far this year, Abang Johari said the economy is expected to drop by between 3.5% and 5% across all sectors, with the worst-hit being the tourism and manufacturing sectors.
He said Sarawak recorded a negative 1.6% inflation rate in the first nine months of the year.
“The Sarawak Labour Department had reported a total of 1,956 retrenchments up to September, mostly involving the hotel, restaurant, retail and construction sectors.
“We foresee that there will be a rise in the unemployment rate of between 5% and 5.5%,” he said.