Stronger Ringgit Eases Burden For Malaysian Students Abroad

By Rozainah Abdul Rahim

KUALA LUMPUR, Feb 2 (Bernama) -- The ringgit's climb to its highest level in over seven years against the US dollar is set to deliver major benefits for the education sector, notably by reducing costs for Malaysian students studying abroad.

This favourable shift in exchange rates provides substantial relief to both parents and students, easing the financial planning and burden of covering tuition and living expenses.

Permodalan Nasional Berhad (PNB) concurs that a stronger ringgit offers a distinct cost advantage for foreign-currency expenditures, such as funding international education.

"In a climate of ringgit strength, overall financing costs, encompassing both tuition fees and living expenses, can be optimised,

"This allows education funds to be deployed more efficiently, in turn delivering greater value from the national investment in human capital development," PNB said in a statement to Bernama.

For more than three decades, PNB has actively supported talent development through its education sponsorship programmes, investing a total of RM462 million and benefiting 5,230 recipients, including scholars at top universities worldwide.

"PNB's approach is consistently guided by long-term sustainability and a fiduciary responsibility to develop competitive human capital that can contribute to national development," the statement read. 

Earlier this week, the ringgit continued its upward trajectory, firming past the significant psychological threshold of 4.00 against the US dollar. The sustained gains reflect improving sentiment towards Malaysia's economic foundations and political stability. 

Separately, Yayasan Perak education manager Megat Zarul Ekram Rusni said the currency's strength is a significant advantage for education funding, particularly for overseas students under the Insentif Siswa Yayasan Perak (INSISYP) scheme.

Explaining that a favourable rate lowers initial expenses such as fees and flights, he said this allows students to start their studies with better planning and more comfortably. 

"This development allows the one-off cash aid from the state government via Yayasan Perak to stretch further, delivering greater practical value to students without needing to increase the budget," he said.

He added that the favourable exchange rate enables the foundation to strengthen the financial stewardship of its sponsorships.

"It ensures every ringgit we allocate provides more efficient, effective, and high-impact access to a global education for our state-sponsored students," he said. 

Echoing this view, Azra Karim, 49, said the stronger ringgit is a direct benefit to her 21-year-old twins, who are studying abroad on MARA scholarships.

"One daughter is reading Economics at Edinburgh, and the other is pursuing her ACCA (Association of Chartered Certified Accountants) qualification in Ireland.  They are now able to enjoy a little more from their living allowance. It makes a real difference," she said.

-- BERNAMA