Malaysia
PTPTN incentive rollback leaves top graduates demoralised, risks talent flight, says MP
Petaling Jaya MP Lee Chean Chung said scrapping the PTPTN loan waiver for top graduates sends the wrong message to Malaysia’s best students. — Picture via Facebook/Lee Chean Chung

KUALA LUMPUR, Dec 4 — The Anwar government’s move to scrap the National Higher Education Fund Corporation (PTPTN) loan waiver for excellent students has triggered a wave of dismay and frustration among top-performing graduates, according to Petaling Jaya MP Lee Chean Chung.

The complaints point to a growing sense of betrayal among the nation’s brightest, Lee suggested, many of whom had factored the loan exemption into their long-term financial planning.

The MP said several students had approached him about the issue, saying they worked tirelessly to achieve first-class honours only to see the promised financial relief abruptly withdrawn.

The incentive, which converted student loans into scholarships upon achieving first-class honours, had long been a strong motivator for academic excellence and a crucial buffer against debt.

“These students are high-achievers who have demonstrated exceptional academic performance,” the PKR lawmaker said at a press conference in Parliament.

“Removing this incentive sends a disheartening message and risks contributing to a brain drain, as our top talents may look for opportunities abroad where their hard work is more equitably rewarded.”

Lee’s remarks add a public face to the discontent that has been simmering since the government announced changes to the PTPTN policy.

Under the new targeted exemption scheme, waivers are limited to first-class graduates from public universities (IPTA) and restricted to students from the B40 and M40 income groups. The change effectively excludes high-achieving graduates from private higher education institutions (IPTS), regardless of merit.

For private university students — often those who could not secure a place in competitive public institutions — the move represents a significant setback, Lee said.

He cited an analysis by the Centre of Regional Strategic Studies (CROSS), which estimated the annual cost of reinstating full waivers for first-class private university graduates to be relatively modest, between RM82 million and RM97.5 million.

The government has said it would study the decision before considering a reversal, but Lee lamented the lack of a clear timeline.

“It cannot go on for an entire year. There should be a timeline as to when we can expect a decision,” he said.

The MP urged the government to urgently review and reconsider the policy change, calling for a standardised, outcome-based framework that recognises academic excellence across all Malaysian Qualifications Agency (MQA)-accredited institutions.

He said a fairer system should ensure equal opportunity for all deserving graduates, regardless of whether they come from an IPTA or an IPTS.

 

Related Articles

 

You May Also Like