The government has been questioned for targeting Public Service Department (JPA) scholarships in its budget cuts when there are other less crucial allocations that can be downsized.

"What is the reason and criteria for them to be ‘sacrificed’?" asked DAP's Seremban MP Anthony Loke.

Loke further asked if the suspension would be implemented for all JPA scholarships of the 11,604 students, or if it would only affect the 700 as reported.

"If only 700 of the 11,604 scholars will be affected by the suspension, the government needs to explain why this group of scholars are being victimised?” he said in a statement today.

Loke said while the decline of global oil prices, which has negatively affected national revenue greatly, is out of the government's control, the manner in which the government cuts and prioritises spending is the prime minister’s decision.

Prime Minister Najib Abdul Razak should therefore lead by example by reducing the allocation for his "discretionary spending" and non-specific programme expenses under the Prime Minister's Office (PMO), he said.

Loke cited five examples of programme expenses under the PMO which could be down-sized: ‘restructuring the community’, development programmes, ‘electronic government project’, special projects and ‘project rakyat-friendly’.

The allocation for all five total RM3.75 billion, he said, and if they were all reduced by 50 percent, it would be enough to accommodate the expenses required for the JPA scholarships in 2016.

PM should trim the cabinet

Likewise, PKR strategy director Sim Tze Tzin called on the government to trim the size of its cabinet, as well as the oversized Prime Minister's Department.

At this point, the cabinet with 36 ministers, 33 deputy ministers, four special advisers and four special envoys of ministerial rank totals 77 persons. In comparison, the US cabinet has only 15 ministers, Sim said.

“Their expenditure does not come cheap with their wages, allowances, as well as their office, with their secretaries, special officers, and visits all around the world...

“The Malaysian cabinet is too big for a small country like Malaysia,” Sim said in a separate statement today.

As for the Prime Minister's Department (PMD), he said this too has become too large with 92 departments or agencies, 57 departments, 10 statutory bodies, 13 companies, five corridor development agencies, five foundations, and two international bodies – with a total allocation of RM20.3 billion for this year.

“(The function) of many agencies under the PMD overlaps with other ministries. If the PMD is consolidated with other ministries, then more savings can be made,” he said.

Loke pointed out most of the students receiving the JPA scholarships are from low-income families who are in dire need of the funding.

"Without the scholarship, there is a huge possibility that these students cannot continue their studies, especially those overseas," Loke said, adding that DAP is strongly against the suspension of the scholarships.

As such, he strongly urged the prime minister to reverse the decision and give the government's full commitment that it will not "sacrifice" even one scholar in the forthcoming revision of the Budget 2016.

Students a worthwhile investment

Sim in his statement stressed that the students eligible for JPA scholarships represented Malaysia's crème de la crème, and their studies would be a worthwhile investment.

Based on a parliamentary reply that he had obtained, Sim said, it costs between RM10,350 and RM12,90 a year to sponsor a scholar to study locally, or between RM38,115 and RM363,844 a year to study abroad.

Even if one is to take a high estimate of RM200,975.50 per student per year, which is the mid-range figure for sponsoring a student abroad, it would only cost about RM141 million per year to sponsor 700 students.

This is equivalent to only about 0.7 percent of PMD's budget this year, Sim, who is the MP for Bayan Baru, said.

“Therefore investing RM141 million on these students is worthwhile because the country needs their talent to turn Malaysian into a developed nation.

“According to an Organisation for Economic Co-operation and Development (OECD) report, every RM1 invested in higher education would bring RM6 of returns in the form of taxes.

“Socially, it ensures that the country becomes developed, with a highly educated citizenry, especially with scholars who hold qualifications from foreign universities,” Sim added.

Zairil: Plug corruption

DAP's Bukit Bendera MP Zairil Khir Johari said in his statement, also released today, that the government should combat corruption and mismanagement first.

"The government is expected to save at least RM30 billion through structuring plans and steps to combat corruption.

"Hence, instead of sacrificing our scholars, the government should first overcome all these corruption and mismanagement which hurt our country," Zairil said.

While admitting that external factors too play a role, he argued that the need to suspend scholarships is a sign of Najib's failure to handle the country's economy and finances.

Minister in the Prime Minister's Department Wee Ka Siong confirmed the suspension of the scholarship after the issue was raised at the cabinet meeting yesterday.

The suspension applies to both overseas and local scholarships and affects some 700 students this year.

The cut has elicited outrage among netizens, who are up in arms over the government's skewed spending priorities.