Kinabatangan MP Datuk Seri Bung Moktar Radin (Umno) did not hold back when accusing the federal government of economic discrimination.

He claimed that the Education Ministry has been sidelining Sabah-based companies in favor of firms from outside the state for lucrative ICT contracts.

The numbers, he says, speak for themselves.

“Companies from outside Sabah have been appointed since 2021, reaching RM48 million per year,” Bung said in Parliament on Thursday. 

That decision, he argues, doesn’t just sideline Sabah businesses—it actively worsens the state’s already dire economic situation. 

Sabah holds the highest unemployment rate in Malaysia at 7.9%, with youth unemployment at 14%. The state’s poverty rate stands at 19.7%, and hardcore poverty is six times the national average at 1.2%.

“These companies will not spend what they earn in Sabah, and of course, there will be no economic circulation in the state,” he added.

The criticism isn’t new. Sabah leaders have long raised concerns over federal contract allocations, arguing they disproportionately benefit companies from Peninsular Malaysia while leaving Sabah’s economy struggling to catch up.

“This is discrimination and undermines Sabah’s local companies, which can do the job just as well,” Bung said.

He’s calling for the Finance and Education Ministries to step in and change course.  – February 6, 2025.