Developing Human Capital and Entrepreneurship - Budget 2015 Gives More to the Education Sector

by StudyMalaysia.com on October 16, 2014 | Top Stories

If you are a student, educator or a stakeholder of the education industry in Malaysia, read on to find out what’s in store with the announcement of Malaysia Budget 2015.

Malaysia Budget 2015 outlines seven key strategies; the third strategy is “Developing Human Capital and Entrepreneurship”. Under this strategy, the government is allocating RM56 billion to the Education Ministry for developing human capital.

Broken down into 12 measures, here’s a quick look and what students, educators and stakeholders of education can look forward to.

Total allocation of RM56 billion for teaching and learning programmes

Measure 1: Strengthening Teaching Professionalism and School Performance	RM250 million – School Improvement Specialist Coaches and School Improvement Partners programmes
Measure 2: Empowering Trust Schools and Building New Schools	RM10 million – expansion of 20 more Trust Schools in Johor, Sarawak, Selangor, Perak, Negeri Sembilan and the Federal Territory of Kuala Lumpur
	The building of 12 new schools comprising seven primary schools, three secondary schools and two boarding schools nationwide
Measure 3: Mainstreaming Technical and Vocational Education (TEVT)	RM1.2 billion – to increase student intake in vocational and community colleges and upgrade colleges.
	RM100 million – additional 10,000 placements in technical and vocational private colleges. RM50 million – allocated to MARA to implement TEVT programmes
	Tax incentives: Double deduction for scholarships awarded to students in vocational and technical courses at the certificate level Double deduction on expenses incurred by a company to implement a structured internship programme for students at diploma and vocational level Further deduction on training expenses incurred by an employer for employees to obtain certificate qualifications from accredited vocational and professional bodies
Measure 4: Development and Maintenance of Education Facilities	RM800 million – towards a safe and conducive learning environment National schools – RM450 million National type Chinese schools – RM50 million National type Tamil schools – RM50 million Religious schools – RM50 million Fully residential schools – RM50 million Government Aided Religious schools – RM50 million MARA Junior Science Colleges – RM50 million Registered Sekolah Pondok – RM 25 million; and National Chinese Secondary Schools (Conforming Schools) which use the national curriculum – RM25 million Electricity and water bills of all National-type schools under MOE will be paid in full up to RM5,000 (previously RM2,000)
Measure 5: Sponsoring Education	RM3 billion – sponsorship of education RM1.9 billion – Public Services Department RM759 million – Ministry of Education RM258 million – Ministry of Health
Measure 6: Expanding MyBrain15 Programme	RM112 million – extension of MyBrain15 Programme (currently for the private sector) to civil servants and employees of statutory bodies
Measure 7: Tabung Pendidikan Tinggi Nasional	10% rebate given to PTPTN borrowers who continuously make repayments for 12 months until 31 December 2015 Additional 20% discount offered to borrowers who make lump sum repayments from now until 31 March 2015 Increased monthly household income limit to RM4,000 (previously RM2,000) for National Education Savings Scheme (SSPN-i) account holders to enjoy matching grants
Measure 8: Enhancing Graduate Employability	RM30 million for Industry Academia Collaboration programme where universities, government entities and industries will collaborate to develop the curriculum for the internship programmes and industrial training
Measure 8: Enhancing Graduate Employability	Increased minimum MUET band (previously Band 1) to enter IPTAs: (a) Arts and Social Science courses – Band 2 (b) Science, Technology, Engineering and Mathematics (STEM) courses – Band 3 (c) Law and Medical courses – Band 4 (ii) to graduate, students must achieve (a) Arts and Social Science courses – Band 3 (b) STEM courses – Band 4 (c) Law and Medical courses – Band 5
Measure 9: Improving the Well-being of Employees	To safeguard welfare of workers The Employment Act 1955 and related labour acts will be reviewed The JobsMalaysia portal will be improved to meet the needs of an increasingly dynamic labour market The government will introduce an Employment Insurance System to assist retrenched workers and provide opportunities for reskilling and upskilling RM30 million – Technical training and education assistance will be provided to Indian youth, particularly those from low-income families
Measure 9: Improving the Well-being of Employees	Double deduction incentive for the purpose of tax computation for companies who carry out Skim Latihan 1Malaysia to be extended until 31 December 2020 (previously 31 December 2016)
Measure 10: Globally Recognised Industry and Professional Certification Programme	RM300 million – introduction of Globally Recognised Industry and Professional Certification Programme or 1MalaysiaGRIP to train 30,000 workers
Measure 11: Double Shift Training	RM570 million – to introduce double shift training capacity for full-time programmes (176 courses) with high demand to train an estimated 48,000 students in a five-year period
Measure 12: Promoting Start-ups	RM75,000 paid-up capital and one-year work pass to attract expatriate entrepreneurs to establish start-ups in Malaysia