KUCHING: An economist outlined key suggestions to enhance the effectiveness of education subsidies targeted at the low-income demographic in the country.
Professor Dr Abu Sofian Yaacob, a Senior Lecturer at the University of Keusahawanan Koperasi Malaysia, emphasized the importance of considering student backgrounds for Fully Aided Schools (Sekolah Bantuan Penuh or SBP).
He highlighted that allocations should prioritize students from rural areas and those within the B40 income group.
“When it comes to students from the M40 income bracket, a crucial factor to consider is their net disposable income.
“For example, parents with a monthly income of RM5000, but with five children, all still in school (be it primary or secondary) and residing in urban areas, would qualify for assistance,” he explained to the Sarawak Tribune.
Additionally, he proposed the transformation of two SBP schools into premium institutions without government funding.
“These schools would require substantially higher fees to cover accommodation, facilities, and maintenance costs, with exceptions made for teachers,” he added.
Regarding higher education institutions, Abu Sofian recommended a similar approach to student admissions based on net disposable incomes.
“Students supported by loans from the National Higher Education Fund Corporation (PTPTN) should ideally receive manageable amounts to prevent overwhelming repayment burdens upon entering the workforce.
“Institutions of higher learning could support students through zakat or alumni associations,” he suggested.
In a recent statement, Prime Minister Datuk Seri Anwar Ibrahim announced the end of free education for the affluent in top schools.
He emphasized that the wealthy, who can afford to pay, will be required to do so once Budget 2025 is unveiled.
“It is unjust for elite groups such as senior civil servants, politicians, and prominent business figures to send their children to government-funded premier schools and reap these benefits. This practice is inequitable.
“If affluent families enroll their children in programs like Engineering, irrespective of their ethnicity, they should bear the costs. This adjustment will help bridge financial gaps. Otherwise, the affluent will continue to benefit from these subsidies, which should be redirected to aid the less fortunate.
“We must ensure fairness, particularly for vulnerable groups like children with special needs such as autism, who require focused assistance,” he emphasized.