By PRIYA KULASAGARAN

ONE knows the global economic gloom is serious when a politician openly admits to his pessimism. Just last week, former British chief economic advisor to the Treasury Ed Balls was quoted saying: 'The reality is this is becoming the most serious global recession, I am sure, for over 100 years as it will turn out.'

While our economy has been relatively resilient thus far, the Malaysian Institute of Economic Research reports that the country cannot be insulated from the effects if the world economy gets worse.

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The mainstream media has been awash with reports of increasing unemployment and government-backed stimulus packages.

How do all these translate in real terms to the average Malaysian school-leaver weighing higher education options.

Alternative choices

'I'm still hoping to go to university,' says Khairy Sulaiman, 17. Looking at part-time job advertisements posted outside a 7-11 store, Khairy's only wish is that his Sijil Pelajaran Malaysia (SPM) examination results will be good enough to enable him to get a place in a public university.

'If not, I would rather go out and earn some money instead of studying something I am not interested in,' he adds.

Fellow school-leaver Jamal Mossein, 17, echoes this sentiment, but thinks that it will be useful to obtain a vocational skill as well.

Driven by his interest in cars, Jamal has been working part-time at a mechanic's workshop while waiting for his SPM results.

'This way, I am picking up a skill that will always be in demand. Why rack up a debt right now when I can learn and earn a living at the same time.' he adds.

Citing financial difficulties, both Khairy and Jamal claim that their friends are have also chosen to enter the workforce instead of furthering their studies.

Universiti Malaya deputy vice-chancellor (academic and international) Prof Datuk Dr Mohd Amin Jalaludin warns against adopting this line of thinking just because of the economic recession.

'If things do get worse, you can sacrifice anything else, but not your education,' says Prof Mohd Amin.

'This is the right time to invest in education so that you can be better prepared for the eventual upturn of the economy. Besides, it is futile to think that you can find a decent job in the current market without any qualifications.'

What students say

It would seem that most young people are still firmly holding on to their higher education plans.

'Realistically, I don't think we have been as affected as the West,' says Kohila Menon, 18. 'My family may have to cut corners by spending less on 'luxury items', but I don't think my education will be one of those things.'

STPM student Tan Ai Lee, 19, foresees the local economy deteriorating, but feels it will not be enough to affect her university choices. 'Unless the government decides to reduce the number of student loans given out this year, I'm not really worried about continuing my education,' she says.

For students who have reserves set aside for higher education abroad, the current exchange rate may actually work in their favour.

'With the state of the American currency, I think my funds can stretch even further now,' says Kimberly Mehta, 19, who plans to do a double degree in business studies and performing arts in the United States.

Having just completed the International Baccalaureate programme, she thinks her chances of getting into a good university are even higher because young Americans are thinking twice about going to college.

'I have cousins there who are graduates and working in video rental stores because of the mass retrenchment,' Kimberly says.

Jeanne Tan, who has a partial scholarship to study at a university in Canada, reckons that it will be cheaper to study there than locally. She had 'paid through my nose' to study at a private college here, but wasn't satisfied with the course.

'I want to do a double major in political science and feminism. It's better to go overseas and work part-time there to pay for my living expenses,' says Jeanne, 21.

Some students imply that the tides of the global economy have little impact on their lives. 'I can't say that my education plans have been affected because, to be honest, I haven't given it much thought,' said A Levels student Arthur Chia, 17, who plans to study architecture in Australia.

Over nine school leavers interviewed for this article professed total ignorance about the world economic climate.

Parental woes

Naturally, things would appear more dire to those who are actually footing the college bills.

Rubendren Kanagaratnam worries that he will not be able to finance his children's education as he is unsure if he will be able to retain his job in the hospitality industry.

'My second daughter wants to study medicine. The best we can do is to hope that her STPM results will ensure her place in a public university,' says Rubendren.

In general, StarEducation found that middle-class parents were more concerned about whether they could still afford to send their children abroad, as foreign universities were deemed to be 'more reputable'.

As articulated by one parent who declined to be named, education remains a priority. 'I just don't want to send my children to third-rate universities here.'

Adult education

For adult students juggling work and study, the pressure of the economic uncertainty can be overwhelming.

'My schedule was full and perfectly balanced before this,' says law graduate and advertising executive Rachel Chew, who is studying for her Bar examinations.

Chew explains that due to the number of lay-offs at her workplace, she now has to work extra hours and struggles to keep up in class.

'I want to keep studying, but I might end up paying more just to repeat the examinations. If I don't pay attention to work, I may cease to have the option altogether.'

Taylor's University College architecture student Karthigeya Maheendren, 28, says the current economic scenario is a case of history repeating itself.

'My family was badly affected by the 1997 Asian economic crisis. When I left school then, there were no degree programmes in architecture that I could complete locally. So I worked part-time and took night classes for certificate courses instead.'

Currently a full-time student, Karthigeya has no problems sustaining himself financially as he gets help from his parents.

'But I think there are people out there going through what I experienced during the last crisis, especially those from families with a few children to support.'

Optimism among colleges

Numerous private higher education providers foresee an increase in student enrolment this year despite the economic downturn. Many expect this trend, which was evident in 1997. Official statistics from the Higher Education Ministry support this claim, indicating a significant increase of student enrolments in both public and private higher education insitutions during that bleak period.

'Our student intake for the A Levels and South Australian matriculation programmes this year have increased by 100%,' says Methodist College marketing manager Reuben Chan. 'The reason for this may be that students and parents are only willing to pay for the essentials now, he says. 'Our prices are competitive because we keep costs low by offering no-frills education.'

Nilai University College vice-president Datuk Sothi Rachagan stresses that Malaysian families still place great emphasis on education as a means to improve one's social and economic standing.

'Thus, education will always be a priority, even in difficult times. Besides, the government's stimulus package is expected to include re-training programmes for the unemployed via local colleges and universities. This means that even those who are retrenched may be entering the education sector,' Sothi says.

Raffles Design Institute advertising and promotions manager David Lee says even non-traditional courses such as design will see an increase in intake.

'We are moving towards a knowledge-based society, and I think both parents and students are aware of the importance of education as more than just a means to get a job,' adds Lee, who expects more students to study locally instead of going overseas due to the volatile exchange rates.

'In fact, we have students transferring to Malaysia from our campuses in Singapore and Australia because they can obtain the same qualification at a cheaper price here.'

'While the situation for potential undergraduates may be more complicated, my personal opinion is that popular postgraduate courses such as business studies will still be in demand,' says Universiti Tunku Abdul Rahman's Dean of Postgraduate Studies and Research Prof Dr Lee Sze Wei.

However, research and grant funding from the private sector will probably decrease, he thinks.

'Most funding comes from government sources anyway, and it is likely that they will continue pumping money into these areas.' -The Star