Lower incidence of bankruptcy among millennials

  • Nation
  • Monday, 13 Nov 2017

KUALA LUMPUR: Only nine Malaysians under 30 were declared bankrupt between January and September this year, a decline from the figures of the past three years.

Deputy Finance Minister Datuk Othman Aziz (pic) said this was an improvement compared with 12 people from the same age group in 2014, 17 in 2015 and 22 last year.

"One of the main reasons for bankruptcy among youth is credit card debt, as many tend to spend beyond their means.

"Between 2014 and 2016, an average of 1.1% of youth declared bankruptcy due to credit card debt, and a majority of them were below 30 years old," he said in reply to a question by Datuk Sapawi Ahmad Wasali (BN-Sipitang) in Parliament on Monday.

On household debt-to-gross domestic product (debt-to-GDP), Othman said the percentage had been decreasing over the past three years, from 89% in 2015 to 88.3% last year, and 85.6% as of the third quarter this year.

"We understand that in our efforts to control debt rate, we must also balance the needs of the rakyat against those of our financial institutions.

"Certain debts like those for the creation of wealth, such as buying assets like a house, we encourage those because once that debt is resolved they can own an asset which will increase in value in future," he said.
Article type: metered
User Type: anonymous web
User Status:
Campaign ID: 1
Cxense type: free
User access status: 3
Subscribe now to our Premium Plan for an ad-free and unlimited reading experience!

nation , bankrupt , malaysian


Next In Nation

Padang Serai PN candidate gives statement to police on 'kerajaan zina' remarks
Bukit Aman: Hadi to be probed for calling PM an 'agent of Israel'
Go ahead and lodge report, I can go to Bukit Aman, says Hadi
Return of Sabah’s 40% net revenue among issues discussed at state assembly sitting
Woman escapes with minor injuries after nasty collision with lorry
Bukit Aman: 152 bookies nabbed over World Cup betting
Association successfully raises RM318,800 for UTAR Hospital, says Dr Wee
Peter Anthony uses Sabah budget debate to apologise for 'words, actions' during GE15
Sarawak gets 60 requests for temporary papers from stateless persons under 21
Perikatan man's remarks on unity govt an insult to royal institution, says Fahmi

Others Also Read