PTPTN reduces loan amount by 5% and 15%

KUALA LUMPUR: The National Higher Education Fund Corporation (PTPTN) has reduced the amount of money available for new student loans, regardless of whether they attend private or public institutions of higher learning. Starting this month, it has reduced the amount by 5% and 15% it used to give out to students in public and private institutions, respectively.

PTPTN’s marketing and strategic communications chief officer Mastura Mohd Khalid said the amount of loans for those taking medicine would be maintained due to its high fees.

She said the rationalisation was made as a result of funding constraints caused by an increase of 50,000 potential new borrowers beginning this month.

Mastura told Bernama yesterday that the financial constraint was also brought about by the reluctance of PTPTN borrowers to repay their loans after completing their studies.

According to her, the implementation of the financing rationalisation has been made known to tertiary institutions in a circular last month.