PTPTN to convert loans to scholarships for low-income students

The National Higher Education Fund Corporation (PTPTN) is introducing the BAeK PTPTN scholarship to support students from poor and extremely poor families. This initiative, announced during the 2026 Budget presentation, aims to convert standard PTPTN loans into scholarships for eligible students registered in the eKasih database who are pursuing full-time Diploma or Bachelor's degrees at approved public higher education institutions.

Starting January 1, 2026, the program will utilize a RM120 million allocation to assist 5,800 students, with plans to increase the number of recipients to 10,000 under the Malaysia Higher Education Plan 2026–2035. Scholarship disbursements will be made every semester based on academic performance and will be credited directly to the students' bank accounts. The program is available to Malaysian citizens under the age of 25.

The initiative addresses critical financial barriers faced by low-income families. For example, Nur Atikah A’iesyah Azman, a student offered a place at Universiti Malaysia Kelantan, expressed significant distress over her family's inability to cover tuition fees despite her academic success. Her mother, a food stall worker earning RM50 a day, struggles to support multiple children, highlighting the urgent need for such educational financial reforms.