The Ministry of Human Resources is proposing to the Cabinet that RM100 million in loans from the Skills Development Fund Corporation (PTPK) be converted into grants to support Technical and Vocational Education and Training (TVET) initiatives across Malaysia [1, 2, 3]. Human Resources Minister Datuk Seri R. Ramanan announced the plan on July 2 at the National TVET Instructors and Accredited Centre Managers Conference, saying, "We will seek the consideration of the Honourable Prime Minister and Cabinet members to convert this RM100 million PTPK loan into a grant, if possible" [1].
The RM100 million funding currently supports skills development programmes aimed at improving employability for TVET trainees [1, 2, 3]. However, many trainees have to temporarily leave their jobs to attend training, causing income loss. Ramanan noted this creates a financial burden, as "If they also have to repay a loan afterwards, it becomes an added burden" [2]. The ministry hopes to ease this by replacing loan repayments with grants, though the proposal is subject to Cabinet approval [1, 2, 3].
TVET is a national priority for human capital development, aligned with Malaysia's goal of reaching a gross national income per capita of RM77,200 [1]. To boost TVET quality and global recognition, the ministry recently launched an Internationalisation Action Plan covering 2026-2030 that focuses on aligning national skills standards with international levels [1].
The government’s Pace Programme includes RM100 million under PTPK to expand TVET access and provide social protection for workers [2]. The MyFutureJobs platform uses AI to match TVET graduates to suitable jobs, contributing to a 95.5% employment rate within six months of graduation [3]. Additionally, 85.1% of graduates find jobs related to their field of training, and employer satisfaction stands at 97.2% [3].
Datuk Seri Ramanan is preparing a Cabinet paper to formalise the grant conversion proposal and will await the government’s decision [1, 2, 3]. This step marks the next move to reduce the financial burden on TVET trainees across Malaysia.
