Govt earmarks up to Rp 160b for scholarship scheme

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)