A COMPREHENSIVE strategy that fosters partnerships among government agencies, higher education institutions and industry stakeholders must be developed to effectively implement the Budget 2025 initiatives.
This, said Vice-Chancellors’ Council for Private Universities (VCCPU) chairman Prof Mushtak Al-Atabi, could include establishing a dedicated task force to oversee fund allocation and distribution, creating mentorship programmes that connect students with industry professionals, and facilitating internships that offer hands-on experience in science, technology, engineering and mathematics (STEM) fields.
'CLICK TO ENLARGE'“Integrating artificial intelligence (AI) and robotics into the curriculum at various educational levels, along with providing training for educators, will ensure that students are well-equipped with the skills they need.
“Regular assessments and feedback loops will help refine these programmes, ensuring they remain relevant and impactful in meeting Malaysia’s technological and economic aspirations,” he said, adding that the National Higher Education Fund Corporation (PTPTN) allocation targeting STEM is a significant step towards widening access to education.
This initiative aims to promote STEM adoption among students, recognising that a focus on these areas will drive economic growth through technological advancements, ultimately yielding substantial economic benefits, he asserted.
He, however, stressed that in the long run, the government must look into more sustainable solutions to enhance students’ interest in the STEM fields.
“For example, creating partnerships between schools and tech giants such as Google and Microsoft to provide students with mentorships and exposure to real-world STEM careers,” he said.
Welcoming the increase in PTPTN allocation and the National Education Savings Scheme (SSPN) tax relief, National Association of Private Educational Institutions (Napei) president Assoc Prof Elajsolan Mohan said this would see more students enrolling at private institutions of higher education (IPTS).
“Fostering collaboration with industries was also a priority focus aspect highlighted in the allocations set aside for technical and vocational education and training (TVET),” he added.
TVET
Dr Goh Lim Thye from the Universiti Malaya (UM) Economics Department said as Malaysia transitions to a knowledge-based economy, there is a growing need for a workforce equipped with the technical skills required by industries such as digital technology, engineering, and automation.
“This TVET allocation will prepare more than 200,000 students annually, addressing skill gaps and ensuring that Malaysia remains competitive in an increasingly digital global economy,” he said, adding that these education reforms will enhance labour productivity, improve employment prospects for youth, and ensure Malaysia’s ability to adapt to the evolving demands of global markets.
“By investing in human capital now, the government is safeguarding the future of Malaysia’s workforce, ensuring that it can drive innovation and support sustainable economic growth,” he said in a statement.
The RM7.5bil allocation for TVET, said TalentCorp, is evidence of the government’s commitment to workforce readiness, with a focus on key sectors such as maintenance, repair and overhaul, electric vehicles, aerospace and AI to prepare Malaysians for the evolving landscape of emerging industries and economic demands.
“By equipping the workforce with specialised skills, the government aims to future-proof Malaysia’s talent pool and strengthen its competitiveness in high-value industries,” the national agency under the Human Resources Ministry said, adding that a prominent measure in Budget 2025 was the extension of the National Structured Internship Programme (MySIP) until 2030, now also incorporating students interning in regulatory bodies.
This expansion aims to provide young talents with critical hands-on experience, enhancing their employability and ensuring a stronger alignment between education and industry requirements, it said.
The focus on expanding internship opportunities reflects a broader strategy to bridge the gap between academia and the professional world, it added.
Another key initiative that supports this strategy is the Internship Matching Grant for SMEs and Start-ups (LiKES), it highlighted.
“Launched in March 2024, LiKES has received an additional RM10mil to support quality internships, particularly in STEM fields.
“By early October 2024, over 774 companies had registered under LiKES, hiring 6,000 interns across Malaysia.
“This funding aims to empower SMEs and start-ups, especially those outside major urban areas, providing them with the resources to nurture young talent and drive innovation,” said TalentCorp.
Aye to AI
UM will focus on innovative AI research approaches to deliver effective treatment to as many patients as possible in the shortest time.
UM vice-chancellor Prof Datuk Seri Dr Noor Azuan Abu Osman
The strategic investments outlined in Budget 2025 will enhance the capabilities of our higher education institutions and establish a robust foundation for a resilient, innovative economy, positioning Malaysia as a leader in the global AI landscape.
VCCPU chairman Prof Mushtak Al-Atabi
A research ecosystem that applies AI in the semiconductor sector has been established at Universiti Sains Malaysia (USM) through its Centres of Excellence. Our work focuses on integrated chip design and AI implementation in innovation of Electronic Design Automation (EDA) tools, among other areas.
USM Collaborative Microelectronic Design Excellence Centre director Assoc Prof Dr Asrulnizam Abd Manaf
While there is great emphasis on AI, technology and STEM education, little was announced for IPTS. However, the AI allocation for public institutions of higher learning (IPTA) is a good start. IPTS should engage with IPTA to benefit from the funding.
Napei president Assoc Prof Elajsolan Mohan
