Budget 2027: PTPTN offers 10pc discount to borrowers with no arrears who make regular repayments

Malaysia's National Higher Education Fund Corporation (PTPTN) will offer a 10 percent discount to borrowers with no arrears who make regular repayments starting in 2027, according to PTPTN chairman Datuk Seri Norliza Abdul Rahim. The incentive aims to promote consistent repayments and minimize the risk of loan arrears. In addition to the discount, the government has announced a loan repayment deferral for 2027, which will benefit over 400,000 borrowers.

Another initiative involves granting tax deductions to employers who repay PTPTN loans for their employees, covering payments from January 2027 to December 2028. The initiatives are designed to ease the debt burden of employees while maintaining their welfare. PTPTN remains committed to realizing the government's goals and aspirations under Budget 2027 by increasing access to inclusive education, enhancing borrowers' well-being, and ensuring the sustainability of education financing funds.

Prime Minister Datuk Seri Anwar Ibrahim announced on Friday that borrowers earning less than RM2,500 a month will have their loan repayments deferred, while those earning between RM2,500 and RM3,000 a month will only need to make minimum repayments of RM50.