KUCHING: Youths have been advised to build up their career and improve their financial standings before adopting a lavish lifestyle.
The advice came from Minister of Youth, Sports and Entrepreneur Development Datuk Seri Abdul Karim Rahman Hamzah who said one must have a strong financial position before applying for loans.
He was commenting on media reports that over 31,000 youth aged 35 and below have been declared as bankrupts from 2014 to May 2023.
“For graduates or freshly employed youths, they tend to desire more than what they can afford.
“Of course the bank is willing to give them the loans that they want but it is a matter whether they can maintain the monthly repayment.
“This is where the problem lies. They need to think ahead on what they are doing, whether the loans will be of any good to them,” he told reporters after attending a press conference on the Sarawak Hornbill Team Challenge 2023 at Pandelela Aquatic Centre here today.
He said the increased bankruptcy cases have prompted the government to study amending the law to set the minimum debt limit to RM100,000, adding that the move will at least reduce the number of people being declared bankrupts.
“Moreover, if one is declared a bankrupt, one will not have access to any facilities and traveling will be restricted.
“This in turn will make their lives much more miserable. Therefore, before getting into that stage, I hope youths are disciplined when it comes to managing their monthly finances,” he said.
