{"id":59447,"date":"2023-10-24T15:53:16","date_gmt":"2023-10-24T07:53:16","guid":{"rendered":"http:\/\/wordpress-my-161844363.ap-southeast-1.elb.amazonaws.com\/articles\/?p=59447"},"modified":"2023-10-24T15:55:35","modified_gmt":"2023-10-24T07:55:35","slug":"ptptn-compulsory-salary","status":"publish","type":"post","link":"https:\/\/www.imoney.my\/articles\/ptptn-compulsory-salary","title":{"rendered":"Government Considering Compulsory Salary Deductions For PTPTN"},"content":{"rendered":"
Due to the challenges of recouping student loans from loanees that have entered the workforce, the Malaysian government is now considering making salary deductions compulsory for PTPTN defaulters.<\/p>\n
This was revealed in the Prime Minister, Datuk Seri Anwar Ibrahim\u2019s speech<\/a> at the National Higher Education Open Day. Hi speech was read by deputy Prime Minister Datuk Seri Fadillah Yusof at the closing ceremony yesterday.<\/p>\n In his speech, Anwar said that the monthly salary deductions would be made through the Inland Revenue Board. This follows from a recommendation made by the National Higher Education Policy Review Committee (NRC).<\/p>\n NRC was first formed early this year, in January, Its main task is to reform the higher education sector of Malaysia.<\/p>\n “This Income Contingent Loan (ICL) implemented via automatic salary deductions made by the Inland Revenue Board (LHDNM) is seen as the most practical and least-burdensome proposal for loan borrowers to settle their debts,” said Anwar in his speech.<\/p>\n According to Anwar, as of May, RM66.9 billion is owed to PTPTN by its borrowers.<\/p>\n “We are concerned about the long-term sustainability of PTPTN and the future of future students, should this persist.<\/p>\n “If this amount is paid, it can support nearly 2.5 million new student tertiary education loans,” said Anwar.<\/p>\n Anwar\u2019s reveal follows several incentives announced during Budget 2024\u2019s tabling to help promote PTPTN repayments.<\/p>\n During the tabling, Anwar announced that PTPTN<\/a> borrowers will enjoy a discount on their loan repayments from October 14 until March 31, 2024.<\/p>\n<\/span>Proposed repayment via ICL<\/span><\/h2>\n
<\/span>RM66.9 billion owed by borrowers<\/span><\/h2>\n