Kuala Lumpur: The government has set an ambitious target to discharge 200,000 individuals from bankruptcy by the conclusion of this year. Currently, approximately 186,000 individuals have been successfully relieved from this financial predicament.

According to BERNAMA News Agency, Minister in the Prime Minister’s Department (Law and Institutional Reform) Datuk Seri Azalina Othman Said shared that this achievement was reported by the Malaysian Insolvency Department, a testament to the government’s initiative to provide a second chance to those affected. “We hope by the end of the year, we can give a calculation (people released from bankruptcy status). So in total we hope to target 200,000 this year,” she stated.

Azalina made these remarks following the launch of the Financial Literacy Programme for Public and Private Higher Education Institutions in 2025, organized by the Malaysian Insolvency Department at Universiti Teknologi Mara (UiTM) Shah Alam. UiTM vice-chancellor Prof Datuk Dr Shahrin Sahib @ Shabuddin was also in attendance.

The Second Chance Policy, highlighted by Prime Minister Datuk Seri Anwar during the Budget 2025 presentation, will extend its benefits to young individuals aged 40 and below with debts not exceeding RM200,000, a move that started last year.

Azalina further elaborated that between 2021 and May 2025, a total of 25,578 bankruptcy cases were recorded among individuals aged under 25 to 55 and above. Notably, the age group of 35 to 44 accounted for 10,145 of these cases. Gender-wise, men were more affected, with 18,590 cases compared to women during the same period.

The programme launched today is part of the proactive measures by the MADANI government to disseminate information on financial management and literacy, particularly targeting students poised to enter the workforce. Approximately 1,000 students from both public and private universities and colleges participated in the one-day event.