Sarawak again receives clean certificate for prudent management of financial affairs

KUCHING (Nov 29): Sarawak has been accorded a Clean Certificate for its Public Accounts for 2022, said Datuk Amar Douglas Uggah Embas.

The Second Finance and New Economy Minister said this marked 21 consecutive years of clean record for the state.

“This is a clear proof of our good governance practices and prudent financial management in managing our financial affairs.

“This outstanding achievement since the last 21 years, resulting from our consistent display of professionalism and prudent financial management, to me, deserves a moment of commendation.

“This achievement is not just any milestone but a consistent narrative of sustained commitment to financial excellence by the Gabungan Parti Sarawak (GPS) government,” he said in his ministerial winding-up speech at the State Legislative Assembly today.

The Deputy Premier told the august House that the state had always carried out and emphasised the importance of maintaining good governance practices in order to achieve and sustain our sound financial position.

“This is proven with the reaffirmation of our commendable investment-grade credit ratings by both international and domestic rating houses, whereby Moody’s and Standard & Poor’s reaffirmed the state’s ratings at A3 and A- respectively, whilst Rating Agency Malaysia (RAM) at Triple A (AAA).

“The state’s ability to obtain and maintain commendable high investment-grade credit ratings is the testimony of our sound financial performance, underpinned by strong reserves and good budgetary practices,” he said.

Uggah also touched on the Sarawak Sovereign Wealth Future Fund (SWF), which is scheduled to commence operations in early 2024.

“The initial appropriation to SWF will be at RM8 billion, with targeted subsequent annual appropriations of RM300 million annually from year two to year five; RM550 million annually from year six to year ten; and RM650 million annually from year 11 to year 20,” he said.

He said with prudent management, the state, through diversifying revenues from the oil and gas industry, can proficiently establish a natural hedging against the disruptive effects of fluctuating commodity prices and future eventualities.

“This will also strengthen Sarawak’s financial sustainability and, ultimately, create an endowment and security for our future generations,” he added.