Teo (PH-Kulai) said it was wrong to attribute the drop solely to the decision to remove 429,945 borrowers from the immigration blacklist.
She cited a decision by former prime minister Najib Razak last year to extend the grace period for fresh graduates to repay their loans from six to 12 months.
As a result, she said, loan repayments had dropped from RM351 million in January last year to RM297 million in January this year, and RM384 million in March last year to RM293 million this year.
“I do not deny that there was a reduction in repayments after borrowers were removed from the blacklist.
“(But) you cannot blame PH or the act to remove people from the blacklist as the (sole) reason for this. If you say it like that, when the former prime minister extended the grace period, that was also a wrong decision.
“It is wrong and unfair to place all the blame on PH alone,” she said in the Dewan Rakyat.
She was responding to Khairy Jamaluddin (BN-Rembau) who had asked about the amount of loan repayment received after the blacklist was removed.
Teo said the process was carried out gradually from May 24 to June 8. From June to September, she said, the amount of loans paid back was RM817.56 million, compared to RM1,342.43 million in the same period last year.
Khairy thanked Teo for confirming that loan repayments had gone down by RM500 million after the blacklist was lifted, adding that this was why errant borrowers were put on the list in the first place.
He also asked on the status of the proposal being drafted on a new mechanism for PTPTN, and the new approach to help borrowers, especially those earning below RM4,000 a month.
Teo said a holistic study on the new repayment policy was completed on Sept 26 and was awaiting feedback from several government agencies following which it would be tabled in Cabinet.
She added that an announcement on the new direction for PTPTN would be made after a final decision is reached.
To Idris Jusoh (BN-Besut), who asked whether PTPTN would be able to record loan repayments of close to RM4 billion, the amount recorded last year, Teo said this would be tough.
She also refuted claims that PH had promised those earning below RM4,000 would not have to repay their loans.
“Our stance on this has always been clear. A loan is a loan. You have to pay it back. But according to capability – that’s what is important,” she said.
“In our manifesto, we said those earning below RM4,000 would be exempted from repayments because they are unable to pay back. We never said they do not have to pay back at all.”