KUALA LUMPUR, July 21 — About 180,000 new students receive the benefit of financial assistance from the National Higher Education Fund Corporation (PTPTN), said its chief executive Ahmad Dasuki Abdul Majid.

The agency, he said, is a saviour and big financial contributor to the nation's children in achieving their ambitions.

He said this gives them the opportunity of increasing living standards for their family and in the country.

“Almost 50 per cent from the nearly 350,000 students accepted into institutions of higher learning (IPT) each year receive PTPTN loans. Only some 27,000 borrowers were sponsored when PTPTN was first established,” said Ahmad Dasuki on Bernama Radio recently when he was a guest in the second season of the ‘POV (Point of View): Perspektif Bukan Persepsi’ show, with regular panelist, crime analyst Kamal Affandi Hashim.

“After 27 years, PTPTN has reached maturity in ensuring that no student drops out from furthering their education at IPTs due to financial problems.”

Ahmad Dasuki said that PTPTN introduced the loan advance payment or Wang Pendahuluan Pinjaman (WPP) in 1999, with an amount of RM1,000, which has now been increased to RM1,500 to serve as a preparation (sum) for students before they enrol in public institutes of higher early learning (IPTA) and polytechnics.

According to him, PTPTN endeavours to change the public’s perspective so that it is not only seen as a lender and debt collector, but as an education fund for Malaysians.

He said in 2004, the first product of the National Education Savings Scheme (SSPN-i), which is now known as Simpan SSPN Prime, was launched, and in 2015, Simpan SSPN-i Plus was created.

Simpan SSPN Prime offers free matching grants of up to RM10,000 to eligible families, that is for parents whose monthly income does not exceed RM4,000.

“The perception of PTPTN as a savings fund has increased over the last two to three years through active promotion and information, including field trips to schools,” said Ahmad Dasuki.

“Matching grants are finance incentives offered to children who are accepted and enrolled in any IPT recognised by the government.”He said PTPTN helps the community to make financial plans for their children's education from an early age, which can eventually produce debt-free graduates through Simpan SSPN.

“With the savings instrument created by PTPTN, the problem of dropping out among students who want to continue their studies can be overcome because this savings product also offers free takaful protection,” he said.

Ahmad Dasuki emphasised that PTPTN’s efforts will not be stopped as its mission is to encourage savings, to ensure children will not be burdened with debt after graduation, thus reducing society's dependence on loans.

Meanwhile, Kamal Affandi said family financial planning in terms of financial management and education is very important in a family institution.

“Education is the way out of hardship and poverty. Savings is also the best and important step for every family. So, both (education and savings) are very important for the future of children and families,” he added. — Bernama