KUALA LUMPUR:A full waiver of the education levy will be granted for one year from January 2026 to all private education and training providers, Datuk Seri Anwar Ibrahim announced.

This marks a historic first in Malaysia’s policy on education financing. The exemption will apply across the board from pre-schools and primary schools to secondary schools, vocational institutions, higher education providers, and training centres.

"This is the first time in history that the government is exempting the education levy for a full year. We have received numerous appeals from education and training institutions asking for relief from this payment," said Anwar in his keynote speech at the National Training Week (NTW) 2025 summit in Bukit Jalil on Saturday (June 14).

Also present at the event was Human Resources Minister Steven Sim.

Anwar, who also serves as the Finance Minister, stated that the move aims to allow these institutions to fully focus on improving the quality of training and education provided.

"Our children must be given the best training possible. The government will find the necessary mechanisms and funding to support this effort," he added.

He also instructed the secretaries-general of both the Education Ministry and the Human Resources Ministry to closely monitor institutions to ensure they deliver top-tier training.

"On top of that, I urge them to also monitor high-profit private companies. They must be prepared to give back, even a little, to their workers," Anwar said.

The exemption applies only to private institutions, following the government’s move to expand the 6% service tax to private education services beginning July 2025. Public institutions are not affected, as they were never subject to the tax.