Skim Prihatin Pendidikan 1Malaysia (SPP1M)
Prime Minister Datuk Seri Najib Tun Razakh as launched the Skim Prihatin Pendidikan 1Malaysia (SPP1M) to assist students at the tertiary level obtain additional study loans.
He said the government had allocated a huge sum for study loans and scholarships in view of the rising cost of higher education which put pressure on parents, especially those paying for their children’s studies.
“Realising the need, the government introduces the SPP1M as additional funding with the loans limited to RM150,000 for a medical specialist course and RM100,000 for the critical courses chosen,” Najib told reporters at the launching ceremony, here, Wednesday.
The SPP1M loan acts as a top-up to the existing National Higher Education Corporation Fund loan for students pursuing their bachelor’s degree or master’s in certain fields.
The scheme will be implemented in two stages – during the second quarter of 2013 for entry into local universities and in June for twinning programmes and further studies abroad.
Najib explained that the SPP1M would provide more opportunities for students to further their studies locally and those who previously could not afford to study abroad could do so now.
“This is a unique study loan scheme and never before implemented by the government,” said Najib, who is confident that it will benefit many from the middle-income group.
“The scheme will also increase the number of students furthering their studies at renowned foreign universities.”
The SPP1M, managed by a foundation, the Yayasan Peneraju Pendidikan Bumiputera (YPPB), offers a loan period of 20 years, capitalised interest and repayment by borrowers to start six months after completing their studies.
The sum of government guarantee for the scheme is RM500 million, comprising 10 per cent of the SPP1M fund of RM5 billion. The SPP1M loan is in addition to the existing National Higher Education Corporation Fund (PTPTN) loans.
Eligibility Skim Prihatin Pendidikan 1Malaysia (SPP1M)
The SPP1M loans are offered for studies at local higher learning institutions listed under the MQA Rating System for Higher Education Institutions in Malaysia for 2011 (SETARA ’11) and registered with YPPB.
The fields of study covered based on the National Education Code will be made available on www.penerajuedu.com soon.
When can you Apply SPP1M
The scheme will start this April for local institutions of higher learning and June for foreign universities, with applications through Maybank and RHB Bank.