Many youths in Malaysia are carrying the burden of massive debt including those who has just completed their studies in IPTA or IPTS, due to study-loans followed by credit cards and car loans when they start working. In fact, some would have personal loans for various reasons but unable to pay.
- This is very worrying situation as there are some who are declared bankrupt at a very young age, affecting not just themselves but also the country’s economy.
All Malaysian citizens must be aware of this. Finances must be wisely managed to avoid becoming a part of that statistics.
- Nevertheless, there are many other factors causing people to get caught in high debt, such low wages when cost of living is increasing.
For example, many Science, Technolgy, Engineering and Mathematics (STEM) graduates, with jobs in the private sector especially manufacturing, are still offered a starting-pay of about RM1,600 and RM2,200 a month, just like two decades ago when the cost of living was not as high.
Just imagine, with that amount of money, they are burdened with the increasing cost of living plus other debts.
- Besides, the number of graduates from IPTA and IPTS are too many every year while the job market is so limited.
This has caused unemployment rate to increase and they are now trapped in debt especially study loan before even starting to work.
- I would like to urge the authorities to review our graduates’ marketability in an effort to address the failure to pay study loan issues. What we can see is that most jobs are given to foreigners.
- I also hope they quickly free our students from study loans in particular as they still have a long way to go and cannot be allowed to live with huge debts.
Sandrea Ng
Deputy Chief
Perak KEADILAN Youth
The People’s Justice Party
