South African Student Federation President, Keamogetswe Masike says regardless of the R1.8 billion increased allocation, efforts must be made to ensure money is used for its intended purpose.
Msaike expressed concerns over corruption at the government scheme.
Over the past two years, we've seen that executive officials at the National Student Financial Aid Scheme have been using that public purse as a personal purse to pursue their personal interests.
NSFAS provides comprehensive bursaries and student loans to deserving students enrolled in approved courses at universities and TVET colleges. However, the work done by NSFAS has been undermined. In the last twelve months, the scheme has faced scrutiny following the dissolution of its previous board and its placement under administration.
The former NSFAS board was dismissed by ex-Higher Education Minister Blade Nzimande due to funding challenges, administrative inefficiencies, and concerns about corruption.
These issues led to delayed allowance disbursements, frustrated students, and the alleged involvement of the former CEO in a corruption scandal. Other contributing factors included a lack of institutional capacity and the board’s failure to implement recommendations from the Werksmans Report.
Msaike highlighted the recurring issue of annual allowance payment delays for NSFAS-funded students, disrupting their studies. They also raised concerns about unpaid allowances from prior years and the anxiety students face while awaiting funding decisions.
The issue here at NSFAS is not about people who are presiding over this entity but it's about the corruption that is plugging the scheme.
NSFAS is concluding its closeout project and is committed to paying all outstanding funds. The scheme also instructed institutions to allow students to register if they are funded by NSFAS.
"Regarding the issue of outstanding payments, on the 31st January 2025, NSFAS released a circular to all public institutions on measures undertaken to ensure that NSFAS-funded students are registered."
A new board and acting CEO was appointed at NSFAS.
Upon the appointment of the new board, Higher Education Minister Nobuhle Nkabane urged board members to ensure the scheme operates efficiently and effectively addresses student needs.
When you get into that organisation, turn around that organisation, review the culture, review the strategy and make sure it works, and make sure that it does not leave anyone behind.
Minister Nkabane noted that three board members have backgrounds in Chartered Accounting. Along with Chief Executive Officer Waseem Carrim, also a Chartered Accountant, the minister expressed confidence in their ability to stabilise NSFAS’ finances.
The responsibility to resolve all these challenges rests on our shoulders.
Parliament further expressed confidence in the appointment of the new NSFAS board.
