KUALA LUMPUR, Dec 26 — DAP’s Kepong MP Lim Lip Eng said he hopes the federal government can abolish National Higher Education Fund Corporation (PTPTN) loans for the B40 group just like how it wrote off Pahang’s RM2.1 billion water supply debt.

In a statement, Lim said he is confident the government can give the same consideration to struggling families who have been badly affected by the Covid-19 pandemic.

"If billions of dollars worth of allocation can be given to Pahang by abolishing their debt to the state government, I’m sure the same thing can be done for borrowers in the B40 category.

"Totally removing all debt may be impossible but perhaps a portion of it or maybe half of the total owed can be written off which would help these families greatly,” said Lim.

On December 23, Putrajaya agreed to write off the Pahang state government’s debt of RM2.1 billion through the water services industry restructuring agreement.

Minister of Environment and Water, Datuk Seri Tuan Ibrahim Tuan Man said it involved rural area water supply debt amounting to RM1 billion while the balance would be transferred by novation to Pengurusan Aset Air Berhad.

Lim lauded this move, claiming that the federal government's initiative should be praised and it should continue to help state governments in need regardless of which party is ruling a particular state.