1. 73% of Malaysians aged between 18 and 40 are in debt, says a UCSI survey involving 1,077 people.
"This indicates that about three-quarters of Malaysian youths do not have sufficient capital for financial commitments," notes UCSI academic Dr Hassanudin Mohd Thas Thaker.
"This indicates that about three-quarters of Malaysian youths do not have sufficient capital for financial commitments," notes UCSI academic Dr Hassanudin Mohd Thas Thaker.
2. The study found that 73% of those surveyed have taken loans, with most of them to purchase vehicles, for education as well as home loans.
"Although the number of borrowers among the youngsters is worrying, 83 per cent of them could pay their loans on time," adds Hassanudin.
"Although the number of borrowers among the youngsters is worrying, 83 per cent of them could pay their loans on time," adds Hassanudin.
3. "It is alarming to have vehicle loans on top of the pyramid as according to the Insolvency Department Malaysia, vehicle loans (14.39 per cent) have been the second causal factor of bankruptcy rate after personal loan (42.24 per cent) in the year 2022,” states Hassanudin.
4. However the research centre notes that 73% of youths are aware of the consequences of defaulting on their loans.
Hassanudin explains that this shows Malaysian youths do not apply for loans blindly.
Hassanudin explains that this shows Malaysian youths do not apply for loans blindly.
5. "According to the findings, the growth in the cost of living and insufficient savings (27%) are the primary causes of financial constraints, while a change in lifestyle is the third primary cause."
Hassanuddin says the change is lifestyle is likely due to the pandemic.
Hassanuddin says the change is lifestyle is likely due to the pandemic.
6. "One of the examples are university students; the transition from physical to online classes required each student to have their own laptop and home wi-fi for them to join online classes, which indirectly affected their daily financial wellbeing," said Hassanudin.
7. "With the current financial crisis period, inflation has also contributed to the number of borrowers among youngsters in Malaysia.
"In addition, there is always a mismatch between demand and supply, which leads to continuous problems," asserts Hassanudin.
"In addition, there is always a mismatch between demand and supply, which leads to continuous problems," asserts Hassanudin.
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