The government is exploring the possibility of PTPTN repayment exemptions for students from B40 and M40 households studying at private higher education institutions (IPTS).
Deputy Higher Education Minister Datuk Mustapha Sakmud told the Dewan Rakyat that such exemptions could extend not only to first-class degree graduates but also to students who commit to serving in designated areas, rather than being solely merit-based. He added that any proposal would ultimately depend on PTPTN’s capacity under its financing model.
“Previously, the scheme included IPTS students, but the current model only covers public universities and targets the B40 and M40 income groups. This ensures that aid reaches those who need it most,” Mustapha explained.
He also noted that the mechanism may require refinement to potentially reintegrate IPTS students. The proposal will be considered by the Finance and Higher Education Ministries in the future.
Mustapha made these remarks in response to a question from Tan Kar Hing (PH-Gopeng) regarding the potential implementation of Service-Based Waivers, which would provide repayment relief for students who serve in rural areas or critical sectors.
He also shared the latest PTPTN repayment statistics. As of October 31:
- 911,788 borrowers from STR-recipient households had repaid RM13.89 billion in total.
- 450,522 of these borrowers made consistent repayments totaling RM4.17 billion.
- 967,796 STR households still had outstanding loans totaling RM10.23 billion.
For non-STR households:
- Borrowers earning up to RM8,000 per month repaid RM703.45 million, while those earning above RM8,000 repaid RM1.54 billion.
- Among borrowers repaying on schedule, 131,386 from lower-income households cleared RM657.79 million, while 39,324 from higher-income households repaid RM362.36 million.
- Outstanding repayments included 196,315 borrowers from lower-income households with RM539.35 million in arrears, and 64,618 borrowers from higher-income households owing RM257.56 million.
The government’s consideration of repayment exemptions reflects an ongoing effort to support students from lower- and middle-income groups while encouraging service-based contributions to the nation.
