No plans to continue PTPTN loan repayment discount under Budget 2024, says Mohamed Khaled

PUTRAJAYA: The Higher Education Ministry does not plan to continue giving National Higher Education Fund Corporation (PTPTN) loan repayment discount initiative under Budget 2024, said its Minister, Datuk Seri Mohamed Khaled Nordin.

However, he said, the matter was subject to the decision made by the Finance Ministry.

“So far, we are no longer continuing with it (discounts for PTPTN repayment),” he told reporters after the launching of the 2023 national-level Academic Day and Academic Month here on Wednesday (Oct 4).

When tabling Budget 2023, Prime Minister Datuk Seri Anwar Ibrahim, who was also the Finance Minister, said the government had agreed to give discounts of up to 20% on PTPTN loan repayments for three months starting March 1.

In addition, the government also agreed to defer repayment for borrowers with a monthly income of RM1,800 and below for a period of six months to ease their financial burden.

There were four categories eligible for the initiative, namely a 20% discount on the remaining debt for full settlement of the loan; a 15% discount for the settlement of at least 50% of the total outstanding debt; a 15% discount for repayments through salary deduction or direct debit; and a 5% discount for repayment through the myPTPTN application.

Meanwhile, Mohamed Khaled said the ministry would also focus on three items under Budget 2024, namely digitalisation, research and innovation and student housing.

“We are hoping that the government will support our application to implement and apply digitalisation in a bid to make the management of the higher education ecosystem in the country a success.

“We believe that through digitalisation, we can improve and further escalate efforts to ensure we continue to excel in the higher education sector,” he said. – BK