After Fed govt writes off Pahang water debt, DAP MP wants same for PTPTN loan

Lim Lip Eng – Bernama photo.

By Chew Lip Song

KEPONG MP Lim Lip Eng has asked the federal government to write off  PTPTN study loans for borrowers under the B40 category to alleviate their hardship following the Covid-19 pandemic.

He said since the Federal government could write off Pahang’s water debt in a restructuring exercise valued at RM2.1 billion, the Perikatan Nasional administration can consider doing the same for the B40 borrowers who took out PTPTN loans.

“Total write-off may be impossible but even a partial write-off will help this group greatly.

“Given the recession now, many B40 PTPTN borrowers are unemployed, or have lost their jobs,” Lim said in a statement.

Lim also thanked the federal government for writing off Pahang’s water debt as the move could not only alleviate the financial burden faced by the state, but also ensure the continuous supply of clean and safe water supply to to its people.

“It is also the responsibility of the Federal government to help state governments, regardless of whether they are ruled by Perikatan Nasional or the opposition,” Lim added.

Last Wednesday, the Federal government announced that it has agreed to write off the Pahang state government’s debt of RM2.1 billion through a water services industry restructuring agreement.

This involved a rural area water supply debt of RM1 billion while the balance would be transferred by novation to Pengurusan Aset Air Berhad (Paab).