PETALING JAYA: The National Higher Education Fund Corporation (PTPTN) loan repayment discounts will go a long way in helping borrowers cope with the rising cost of living.
The fund’s borrowers will receive discounts of 10% to 15% on their loans when they make full or partial payments from Oct 14 this year to March 31, 2024, Prime Minister Datuk Seri Anwar Ibrahim announced in the Budget 2024 yesterday.
Nivesh Naga Raja, 23, said that he was initially doubtful if there was going to be any discounts given for PTPTN borrowers following recent reports that the Higher Education Ministry would not be pushing for the PTPTN loan repayment discount initiative under Budget 2024.
“This announcement really came as a surprise. I am grateful for the discount, however with the rising cost of living, the rate is not substantial,” said Nivesh, who recently moved from Perak to Kuala Lumpur in search of a job.
“Transportation and meals are expensive in the city, and I just do not have enough to save.
“I don’t come from a wealthy background, and I usually work part-time to settle my PTPTN debt,” he said.
The discount rate was lower than Budget 2023, where borrowers were given a 20% discount on loan repayments for three months starting March 1.
Nur Marissa Qistina Mohd Zulfikar Alibahtto, 23, said the discount should encourage PTPTN borrowers to promptly pay their loans.
She added that she is now “one step further” to settling her loan quickly.
“I want to be able to pay off the pending balance as quickly as possible and I really hoped for the higher discount rate that would help me achieve my goal to save up for my future,” she said.
Corporate administration student Chow Qiao Ci, 20, said she had hoped for a higher discount rate and for the period to be extended.
“Some PTPTN borrowers delay payments because they have other financial obligations like bills and taxes to settle first. I think it is not their intention to default on the loan, so this discount is good even though I had hoped for better,” she said.
Meanwhile, Universiti Utara Malaysia student representative council (MPP) president Muhammad Izuan Faiz Abdul Rahman said the Prime Minister’s announcement that the registration fees to public universities would be limited to a maximum of RM1,500 beginning January was reasonable.
Public varsity fees, he said, should be student-friendly.
“The sum announced is reasonable as we want to avoid the situation where new students have to reject offers to pursue their tertiary education or where existing students are not able to continue studying,” he said.
On the establishment of an artificial intelligence (AI) study centre at Universiti Teknologi Malaysia (UTM), National Association of Private Educational Institutions (Napei) secretary-general Dr Teh Choon Jin said it was a commendable and forward-thinking step for the future of higher education.
“Given the significant impact of AI on multiple industries, similar centres are needed in all learning institutions so that everyone can benefit,” he said.
Vice Chancellors’ Council for Private Universities Malaysia (VCCPU) chairman Prof Mushtak Al-Atabi said that by emphasising AI, Malaysia is equipping its youth with the essential skills required for future careers.
