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Feb 11, 2009
More aid for students
For graduates, study loan repayment suspended for a year
By Jane Ng
THE Ministry of Education will double the amount of financial aid for needy students this year, as their numbers rise amid the worsening recession.

It will spend $44.4 million to help these students at all levels, from primary school to university.

The extra help includes bigger bursaries, free school uniforms and for some, even a transport allowance.

A new aid programme is also being introduced for post-secondary students who may be struggling because their parents have been laid off.

In announcing these measures yesterday, Education Minister Ng Eng Hen told Parliament: 'No child will be denied a quality education because of financial difficulties.'

He also said 'the MOE is mindful that many families will be affected by the economic downturn'.

Already, the ministry has seen a 6 per cent jump in students needing financial help last month - 41,290 compared to 39,100 in January last year.

Dr Ng said the new and enhanced programmes will benefit at least 80,000 students from primary to post-secondary levels.

For those in primary and secondary schools, the MOE's financial aid scheme will give them free school uniforms on top of the free textbooks they now receive.

Junior college students on the scheme will get $250 more in their bursary, giving them $750 for buying textbooks and stationery as well as other school expenses.

There is also more money for schools and colleges to help students affected by the downturn but who do not qualify for the MOE scheme. These institutions will get a one-off grant of $10,000.

Those with more than 10 per cent of their students on the MOE's scheme will get an additional $10,000, which they can spend at their discretion on say, transport allowance or meal vouchers for their students in need.

Said Dr Ng: 'I recognise that some breadwinners may face disruptive employment and temporary financial difficulties and yet not meet our eligibility criteria of existing schemes.'

To qualify, students from a family with one or two children must show a gross monthly household income of $1,500 or less. If the family has three or more children, the income ceiling is $1,800.

The bigger aid kitty was welcomed by schools with a big population of needy students, like Teck Ghee Primary.

About 14 per cent of its 1,240 pupils are on the MOE's aid scheme.

Its spokesman Ng Peng Hock said the school had seen a rise in aid seekers but not all met the household income criteria.

'This will give schools more leeway to help families who fall just outside the criteria. We expect more pupils to seek help in the coming months,' said Mrs Ng.

Students in post-secondary institutions, including the Institute of Technical Education, can apply to the new Short- Term Study Assistance Scheme if, for instance, their parents had been laid off.

They will get up to $2,060 a year.

There is also help for graduates of universities and polytechnics.

They will have a one-year respite from repaying their tuition fee and study loans. The payment will be suspended automatically, even for those who have started paying.

Graduates of earlier years will also enjoy the 12-month freeze. No interest will be charged on the unpaid amount from April 1 this year to March 31 next year.

To fund these measures, MOE will spend an extra $24 million this year. At the same time, the ministry's total budget will rise by 5.5 per cent to $8.7 billion.

janeng@sph.com.sg

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