The Ministry of Higher Education has received an allocation of RM19.1 billion, as announced in the 2027 Budget. Of this amount, RM800 million is allocated for infrastructure improvements—including lecture halls and student accommodation—and for the replacement of obsolete equipment.
Regarding education financing, the National Higher Education Fund Corporation (PTPTN) remains a key pillar for students aspiring to pursue higher education. Accordingly, the government has agreed to defer loan repayments for borrowers earning RM2,500 or less per month, effective from 2027.
For borrowers earning between RM2,500 and RM3,000 per month, a minimum monthly repayment of RM50 will be imposed. This measure is expected to benefit over 400,000 PTPTN borrowers. Additionally, borrowers who have no outstanding arrears and maintain consistent repayment records will be granted a 10% discount.
The government has also agreed to provide tax deductions to employers who cover PTPTN loan repayments on behalf of their employees. This incentive applies to repayments made between 1 January 2027 and 31 December 2028.
