Higher education minister Zambry Abdul Kadir said the government is taking a compassionate approach on student loan defaulters so that those genuinely unable to repay their loans due to financial hardship – such as recent graduates – are not unfairly penalised.

“We understand their financial circumstances. If they are experiencing difficulties, we have repeatedly urged them to notify PTPTN.

“I have advised PTPTN to exercise compassion, ensuring that those genuinely unable to repay their loans are allowed to have their repayment schedules restructured,” he said after the national academic awards ceremony here today.

“These efforts are intended to address those who number in the hundreds of thousands and have so far been unwilling to make repayments,” he said.

“One of the challenges is that some fall into the category of those who have refused to make any payments from the very beginning,” he said.

However, Zambry noted a rise in PTPTN loan repayments following the 2026 budget announcement, imposing travel restrictions on borrowers who default on their loans.