Mustapha (third left), Rusdi (third right) and Muliati (second left) with the recipients of WPP from Sepanggar constituency.
KOTA KINABALU (Sept 21): Students will not to have pay their PTPTN loan if they obtain first-class honours degree, said Deputy Higher Education Minister Datuk Mustapha Sakmud.
The Sepanggar MP stressed this during the handing over of Wang Pendahuluan Pinjaman (WPP) by the National Higher Education Fund Corporation (PTPTN) on Sunday, where he described the exemption route as both “clear and fair”, but one that demands dedication.
“There is no need to talk about abolishing PTPTN. Only 12 per cent of borrowers have not repaid their loans. The rest are paying, some consistently, some not. But there is a way to not pay at all. Get a first-class degree. That’s the method. You will be exempted,” he said.
Mustapha also urged students to embrace responsibility as future graduates, not only by honouring their loan agreements but by striving for academic excellence which, in turn, could free them from repayment altogether.
In Sepanggar 179 students received their WPP, an advance loan totalling RM268,500 to support their transition into tertiary education. Statewide, 3,138 students beginning their studies at public universities and polytechnics in October will benefit from WPP, with total funding amounting to RM4.71 million.
Nationally, as of 31 August 2025, the scheme has assisted nearly one million students since its inception in 1999, with a total disbursement of RM1.46 billion.
“This WPP initiative is designed to help with essential university preparations, such as transportation, books and other expenses,” he said, adding that the offer letters are valid from 24 September to 23 November 2025 and can be redeemed at any Bank Islam Malaysia Berhad (BIMB) branch.
Since its establishment, PTPTN has disbursed RM76.15 billion to 4.17 million students, playing a pivotal role in democratising access to higher education, especially for those from low-income households.
“Without PTPTN, many students would never make it to university. It has empowered Malaysians to dream bigger,” Mustapha said, lauding PTPTN under the leadership of chairperson Datuk Seri Norliza Abdul Rahim.
In recent years, PTPTN has also shifted focus towards encouraging financial independence through its savings schemes namely Simpan SSPN Prime and SSPN Plus. Both schemes provide attractive benefits including takaful coverage, with SSPN Plus offering hospitalisation benefits and coverage up to the millions for as low as RM30 per month.
“PTPTN is working to change the mindset from borrowing to saving. It’s a long-term vision to reduce dependence on education loans,” he said.
Recognising the financial strain faced by families, especially from the B40 group, Mustapha reassured students and parents that public universities have taken steps to ease the burden.
“For example, registration fees at IPTAs like UMS and UiTM can now be deferred. Students can enrol first, while the payment will only be deducted once the PTPTN loan is disbursed,” he explained.
He added that in cases where students are the first in their families to enter university, special one-off exemptions and additional aid are available.
“Just speak to the student affairs department,” he advised.
While financial assistance is crucial, Mustapha reminded students that PTPTN loans are not to be taken lightly.
“Once you graduate, be a responsible borrower. Repay your loans so the next generation can benefit from the same opportunity,” he said.
Present at the event were PTPTN senior general manager.Mohd Rusdi Ismail and Sabah state PTPTN director Muliati Kamaruddin.
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