Sunday, May 27, 2012

Convert PTPTN loans to scholarships for all who achieve good results


The plea from a previous student who took up a PTPTN loan but is not eligible for the conversion to a scholarship does highlight an anomaly in the current exercise. It seems the conversion of loans into scholarships is only applicable to those who signed up before June 2006 or graduated in 2010 and beyond. What happens to those not in this category but had obtained first class degrees which is the criteria for conversion to scholarships?

The conversion to scholarships does prove that the government can afford to give free education if all the students obtained good results such as a first class degree. A scholarship means the student does not have to pay anything except maybe to be absorbed into serving the government for a certain number of years.

It does seem fine on paper but in reality there are some who do not serve the government but are let off as there are no vacancies or suitable posts for those graduates. That fact in itself is a double whammy as the student do not have to pay back for his education nor serve the government. He will be able to seek employment in the private sector and indirectly it signifies an exodus from the public sector of sorely needed talent and expertise.

The PTPTN Chairman has mentioned that education in public universities was subsidised 90 per cent by the government while only 10 per cent was borne by students through their loans. A little bit more money pumped into the education budget should be able to make public universities fully subsidised. Then the PTPTN loan is only needed for those attending private universities.

Private universities are a different animal altogether as they are a business entity and showing good returns to their investors is the their priority. The fees at private universities will be influenced by market demand and their reputation as a good and reliable institute of higher learning. The fees can be exorbitant for a middle income family and the PTPTN loan comes in handy to ease the burden.

It would be a welcome move if even those who are at private universities are given the chance to convert their loans into scholarships if they achieve a high standard in their final examinations.

No comments: