Govt earmarks up to Rp 160b for scholarship scheme

YOGYAKARTA (JP): To stop financially strapped university students from dropping out, the government has earmarked up to Rp 160 billion for scholarships, a senior education ministry official said Saturday.

Director General of Higher Education Bambang Soehendro said President B.J. Habibie was slated to launch the scholarship fund on Thursday in the Central Java provincial capital of Semarang.

"It's the type of scholarship scheme to be given to students of poor families," Bambang said here after witnessing the launching of Mobil Oil's scholarship grants to 650 students from 12 universities across the country.

He acknowledged that the funds allocated by the government "is far less than needed" and thus urged private institutions to lend a helping hand.

Bambang said there were currently 2.5 million university students in Indonesia. The funds allocated will be enough to help only 200,000 students, he said.

Because of the prolonged economic crisis, which began in July last year, nearly half of the country's population of 200 million is expected to fall into poverty by the end of this year.

On Saturday, Bambang said the government-sponsored scholarships would be available in three schemes: regular scholarships, to be given to 50,000 state university students with each short-listed student receiving Rp 720,000 per year.

The second scheme is working scholarships to be given to 80,000 state and private university students. Each student is to receive Rp 720,000 working part-time at a government institution.

The third type is a credit scheme which will be available to 70,000 state university students. Under this scheme, the students will have to pay back the money once they graduate and find employment.

Each of the students under this scheme will receive at least Rp 320,000 per year.

"The problem with this scheme is that its return rate, in our experience, is only 2 percent... But we'll try to make a better arrangement this year," he said.

Bambang said all the scholarships would be managed by universities.

Also Saturday, the multinational oil and gas company Mobil Oil officially commenced 650 scholarships totaling Rp 650 million (US$50,000), to help economic crisis-ridden university students finish their undergraduate studies.

Gadjah Mada University rector Ichlasul Amal symbolically received a check worth Rp 90 million for 100 students of the university from Mobil's senior vice president of exploration and producing Neil W. Duffin.

"The grants this year are being given to those students with good academic records who are suffering financial hardship because of the economic conditions," Duffin said.

Mobil Oil Indonesia Inc., which this year marks its 100th year of doing business in Indonesia, has extended such grants since 1985.

Gadjah Mada University is one of 12 universities across the country whose students have received scholarships. Others are students at the University of Indonesia, Bandung Institute of Technology, Padjadjaran University, Diponegoro University, Airlangga University, Brawijaya University, IKIP Malang, the Udayana University, Mataram University, Hassanuddin University and Pattimura University. (aan)