PTPTN loan repayment: RM2 billion expected to be collected this year

The collection of loan repayment for the National Higher Education Fund Corporation (PTPTN) this year is expected to rise to RM2 billion, said Higher Education Minister Datuk Seri Idris Jusoh.

To improve loan repayment performance, PTPTN has implemented various programmes including awareness campaigns, incentive reimbursement, enforcement actions and wage cuts.

"In 2015 PTPTN managed to collect a repayment of RM1.4 billion, nearly double the RM750 million target set," he said in a question and answer session at the Dewan Negara.

He was responding to a question from Senator Datuk Mohd Salim Sharif who wanted to know the outstanding amount for the PTPTN loans to date.

Idris said that this year, PTPTN recorded a loan repayment collection exceeding RM200 million a month and last month the collection was RM237.4 million.

Idris said until Feb 29, this year, 661,262 borrowers had failed to repay the outstanding amount of RM5.4 billion. However, through enforcement and debt restructuring, the debt amount is expected to decrease following the rise in the number of borrowers making repayments through payroll deduction.