KOTA KINABALU, July 21 -- Sabah has defended its RM210 million allocation for state-linked companies, rejecting claims that the government was giving "bailouts" but instead said they were strategic investments that had undergone financial evaluation and risk assessment.

State Finance Minister Datuk Seri Masidi Manjun said the allocation under the Supplementary Supply Bill 2026 involved RM200 million for Sabah Development Bank Berhad (SDBank) and RM10 million for POIC Sabah Sdn Bhd.

Masidi who is also deputy chief minister II said the RM200 million allocation for SDBank did not involve any new cash injection from the state government, but was instead a phased accounting adjustment to convert existing fixed deposits held by the government...