PM: Solid relationship between federal and state goverments crucial

KUALA LUMPUR: Tan Sri Muhyiddin Yassin today underscored the importance of a strong, solid relationship between the federal and state governments in ensuring that mutual goals are met.

In his speech at the national-level Malaysia Day celebration at the Sibu Indoor Stadium tonight, the prime minister said any problems could be resolved if there is a good working relationship between the two entities.

He paid tribute to the Sarawak government leadership for its efforts in resolving talks over the sale of oil and gas as well as sales tax on petroleum products in the state.

"I would like to state here that issues deemed difficult can have a good resolution when the federal and state governments are of one direction and one heart," he said, paying tribute to Sarawak Chief Minister Datuk Abang Johari Abang Openg.

"Alhamdulillah, this issue was successfully resolved with just some details being ironed out by both sides.

"I believe that when both the federal and state government are on the same page, it is the people who benefit. God willing, negotiations with the Sabah government will begin after the Sabah election," he said.

The prime minister said the Perikatan Nasional (PN) government remains committed to ensuring that the rights of Sabah and Sarawak, as enshrined in the Malaysia Agreement 1963 (MA63), would be protected.

He said even during the formation of the PN cabinet, he had created a special portfolio on Sabah and Sarawak Affairs under the Prime Minister's Department.

He said the recent cabinet meeting on Sept 9 had also agreed to the formation of a Special Committee on MA63, which he would chair.

The committee, which features the Sabah and Sarawak chief ministers as well as federal ministers and other members that will be appointed according to their qualifications, would discuss issues pertaining to the states' rights as enshrined in MA63.

"I hope the establishment of this special committee can help unravel several pending issues relating to the rights of Sabah and Sarawak in line with MA63, and its allocations in the Federal Constitution.

"What is important is that efforts to develop both states are continued and increased further with the close cooperation between the federal and state governments," he said.

Muhyiddin said the government would also not compromise on the issue of the states' sovereignty, and that Sabah and Sarawak would remain in Malaysia.

"The federal government will not bow to any party which aims to question our country's sovereignty," he said.

Muhyiddin said the PN government was also committed to improving digital connectivity nationwide, including in Sabah and Sarawak, where a majority of areas are still lagging behind in terms of high speed mobile broadband networks and digital infrastructure.

In this regard, he said the National Digital Network (Jendela) was in line with the federal government's commitment to this endeavour.

"The Jendela plan is a strategic collaboration between the Communications and Multimedia Ministry and Malaysian Communications and Multimedia Commission as well as agencies related to the main telecommunications service providers. The plan encompasses improvements that will be made in phases to the country's digital communication," he said.

Muhyiddin said the first phase of the plan entails expanding 4G mobile broadband coverage from 91.8 per cent to 96.9 per cent in populated areas, and to enable 7.5 million premises to obtain access to fixed line broadband networks with gigabyte speed.

He said 3G networks would be abolished in phases until 2021 to enhance 4G coverage, and this will also set up a foundation for a transition to 5G networks, which will be done as part of the second phase of Jendela.

"What is certain is that Sabah and Sarawak will be among the states that will receive benefits from the plan's execution.

"In Sabah, 35 new towers will be built and 1,048 communication transmission equipment in exising towers will be upgraded commercially in order to expand 4G coverage.

"In Sarawak, 49 new towers will be built and 825 existing communication transmission towers will be upgraded commercially."

Muhyiddin said the federal government would continually monitor the overall implementation of the plan.

He also expressed confidence that the full support from the ministry, agencies and state governments would ensure that Jendela would reach its goals to bring benefits to the people.

Meanwhile, the prime minister also noted that Malaysia Day this year is being celebrated amid a pandemic.

"Several areas in our country, including Sabah, have recorded an increase in new cases. This shows that our struggle against Covid-19 is yet to be over.

"Hence, we must always be aware of the threats posed by this pandemic and continue to adopt new norms as urged by the Health Ministry."

He said the government's focus was trained on rehabilitating the country's economic sectors that were affected by the pandemic via several proactive measures.

"The government has taken proactive measures from early on, by channeling aid to the people through initiatives such as Prihatin Rakyat Economic Stimulus Package (Prihatin) and the Economic Recovery Plan (Penjana) at a total value of RM295 billion."

On the country's gross domestic product (GDP), Muhyiddin said Bank Negara Malaysia had reviewed its growth forecast to be between -3.4 per cent and -5.5 per cent following the adverse impact of the Covid-19 pandemic.

"However, the country's economy is expected to recover next year with the (GDP's) growth forecast at 5.5 per cent and up to 8 per cent, driven by the continuous growth in both global and domestic economy.

"I am confident that economic recovery efforts will be bolstered through the 2021 Budget which will be tabled at the parliament in November, God-willing," he said.

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