The Malaysian federal government allocated RM4.06 billion to Sabah for Rural Water Supply (BALB) projects across the state, announced on August 8 by Deputy Prime Minister Datuk Seri Ahmad Zahid Hamidi at the Rungus Cultural Festival in Matunggong [1, 2, 3, 4].

The BALB projects are implemented directly by the Sabah state government to ensure smoother and more effective execution tailored to local needs [1, 2, 3, 4]. Datuk Wetrom Bahanda noted that unlike past rural projects usually managed by the ministry in Putrajaya, the allocation was channelled straight to the state government for better assessment of actual community needs [3].

The allocation targets rural and outlying areas including Kudat, Kota Marudu, and Pitas—districts identified among the poorest in Malaysia [1, 2, 4]. Datuk Seri Dr Ahmad Zahid Hamidi stressed the importance of resolving key issues in rural Sabah, saying, "The main problem in Sabah is the supply of clean water and electricity; it is my responsibility as the Minister of Rural and Regional Development to resolve this matter, especially in rural and outlying areas." He added that development is a right for all Malaysians regardless of region [2].

The Rural and Regional Development Ministry will monitor the progress and provide technical support to ensure projects proceed according to schedule [1, 2, 4]. Besides water projects, the ministry is actively funding rural road construction in the state, such as Sonsogon-Megandai and Mangin roads, plus upgrades to Jalan Rendemon, Jalan Teringai, Jalan Sembayan, and Jalan Raritiden to Pampang Poring aimed at improving connectivity for interior communities [3].

These infrastructure upgrades are intended to accelerate development in Kota Marudu and Kudat and help reduce poverty in these districts [3]. There is also support to upgrade Matunggong subdistrict to a full district to bring further development benefits [1, 2, 3].

Additional socioeconomic programs focus on raising living standards and income for rural B40 families, aligning with the federal government’s priority on basic infrastructure and hardcore poverty eradication in Sabah [1, 2, 4].