PTPTN chairman Shamsul Anuar Nasarah said such a proposal had already been studied by the fund, adding that it found it to be something impossible to implement.

He said it would only see a spike in the number of defaulters.

“This would force us to be dependent on other means to finance new borrowers,” he told reporters at a PTPTN function today.

PH, in its manifesto, has among others proposed that some borrowers be allowed to delay their repayments so that their names are not blacklisted.

Shamsul, who is Barisan Nasional’s (BN) Lenggong MP, said PTPTN’s current policy was far better than PH’s proposal.

“Fresh graduates have the option to service the loan after 12 months.

“If they are not able to do so within that period, it will be extended to 24 months,” he said, adding that the current system was more realistic.

Shamsul said PTPTN was open to improving its system but said PH’s suggestion “is merely a political gimmick” that is impossible to implement.

On the call to stop blacklisting defaulters, Shamsul said this was a populist move and would only burden the fund.

“Previously, they wanted to abolish PTPTN. How are they then going to get the funds to help students further their studies in universities?” he asked, referring to past calls for the government to provide free tertiary education.

“These proposals are just to woo voters, especially the youth. They are irresponsible.”