Sarawak–Sabah highways receive RM3.3 billion allocation in Budget 2027
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Budget 2027 allocates RM3.3 billion to ongoing highway projects in Sabah and Sarawak, including the Trans-Borneo Highway and Sarawak–Sabah Link Road 1.
Presenting the budget in the Dewan Rakyat on October 9, the Prime Minister and Finance Minister said the Letter of Acceptance for the Trans-Borneo Highway’s Miri section had been issued. The Limbang and Lawas sections were expected to receive theirs by the end of 2026. That separates a confirmed award step in Miri from an expected step in the other two areas.
Sarawak–Sabah Link Road 1 and Sabah’s Pan Borneo Highway Phase 1B are targeted for completion by the end of 2027. The announced deadline applies to those two projects, not automatically to every Trans-Borneo Highway section.
The budget also sets aside RM350 million for federal road maintenance by G1–G4 contractors in Sabah and Sarawak. Maintenance funding and the highway development allocation address different work; neither announcement means a new section is already open to traffic.
For northern Sarawak road users, the next concrete milestones are the outstanding Limbang and Lawas acceptance letters and progress towards the Link Road 1 completion target. The RM3.3 billion is a combined allocation for both states, not a Sarawak-only sum.
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