Prime Minister Anwar Ibrahim made three key announcements during his Malaysia Day address in Kuching, Sarawak, last night.

He made the announcements as part of his administration's commitment to fulfil the Malaysia Agreement 1963.

It also came amid political instability due to friction with Madani coalition partner Umno, where Anwar will need Borneo's support to keep the government stable.

The announcements are as follows:

1) Sarawak's interim special grant increased to RM1.5 billion

Interim payments to Sarawak will increase from RM600 million to RM1.5 billion, effective this year. This is to match a similar increase in special payments to Sabah.

The interim grants are a temporary fix pending a long-term formula to fulfil Putrajaya's obligations to East Malaysia as per Article 112D of the Federal Constitution.

2) BudiDiesel transfer facilities

The government is expanding the ability of registered owners of private diesel vehicles to transfer their eligibility to get subsidised diesel to any eligible user, effective immediately.

Previously, the transfer was limited to immediate family members.

The Finance Ministry explained the facility as follows: "For example, if Mr Alias owns four private diesel vehicles, he can transfer the monthly eligibility of those vehicles to the actual users, such as his wife, child, and employee. Mr Alias and the three individuals will each receive their respective monthly eligibility based on the type of vehicle used."

3) RM500 flight aid to new tertiary students

New students enrolling in public higher education institutions will get a one-off RM500 special assistance for domestic flight tickets for the September-October intake this year.

"This will benefit 7,095 students who need to fly between Peninsular Malaysia, Sabah, Sarawak, and the Federal Territory of Labuan to begin their studies," Anwar was quoted as saying by Bernama.