Kuala Lumpur — Bank Negara Malaysia (BNM) has announced plans to make financial literacy training a compulsory part of youth development, aimed at equipping young Malaysians with essential money management skills before they graduate or enter the workforce.
Deputy Governor Adnan Zaylani Mohamad Zahid, speaking at the Sasana Symposium 2025, revealed that the central bank’s Financial Education Network (FEN) Proaktif programme is set to play a key role in this initiative.
“We are exploring ways to make this programme mandatory or provide credit incentives for participation. Our goal is to ensure young people have the financial knowledge and skills they need to navigate increasingly complex financial decisions,” Adnan said.
He added that BNM is working closely with other government agencies and is awaiting formal responses from the relevant ministries on the proposed mandate.
The session, themed “Securing Youth Financial Future: Enhancing Financial Capability”, also featured remarks from Youth and Sports Minister Hannah Yeoh, who raised concerns about rising youth bankruptcy.
Yeoh pointed to alarming data:
“In 2024, we recorded 877 cases of young people declaring bankruptcy, compared to 727 cases the previous year. While the numbers may seem small against a youth population of 9 million, the trend is worrying. Many young people fall into debt traps through easy access to credit and buy-now-pay-later schemes, eventually accumulating credit card debt they struggle to repay.”
To address this, Yeoh noted that the government has revised the Bankruptcy Act, allowing individuals under 40 with minor debts to be discharged and offered a second chance at financial stability.
The proposed FEN Proaktif mandate reflects BNM’s broader efforts to foster a financially literate generation capable of making sound financial choices and avoiding debt pitfalls.
