The 2016 budget announced end of Oct has 41.3 billion allocated to improve education (out of a total budget of RM267.2 billion). Compared to 2015 budget allocation, Higher Education Ministry received the 2nd largest cut, a reduction of RM2.4 billion to RM13.378 billion causing public universities to have their funding cut by RM1.442 billion. There is speculation that this may cause tuition fees to be increased next year, however the Ministry of Higher Education has promised that fees will not be raised.

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The impact of the significant cut on Higher Education Ministry budget, which translated to a reduction of 19 out of 20 public universities’ funding, remains to be seen. The Ministry of Higher Education has promised that fees will not be raised. The amount allocated for scholarships and education assistance has also decreased, therefore students vying for government scholarships should be prepared for tougher competition. For UK universities, this could mean that the numbers of government sponsored students may be significantly reduced.