Taking on a loan or being riddled with debt can be a huge financial burden for most people. So it goes without saying that you shouldn’t be comfortable with taking any loans or debts.
But a recent study from Milieu Insight showed that Malaysians have the highest level of comfort when it comes to taking on debts or loans.
The study, conducted in Southeast Asian countries, highlights the financial realities of individuals in Singapore, Malaysia, Indonesia, Thailand, Vietnam and the Philippines.
Aside from being comfortable with taking on debts/loans, Malaysia (79%) also holds the highest prevalence of people who have loans or are currently holding debts. In terms of financial literacy, the majority of Malaysians (41%) surveyed still prefer learning from family members, followed by taking on formal education courses (36%).
Other key findings from the study include:
6 in 10 across Southeast Asia currently have debts or loans.
1 in 4 cite growing their business as the likely reason to take a loan.
1 in 4 individuals in Thailand have no income savings remaining after deducting expenses and debt/loan repayments.
27% across the region do not consider themselves knowledgeable in personal finance management.
Thinking of getting a loan? It’s important to understand the different types of loans available and choose the ones that fit your needs.