NSFAS announced last month that there were out of money and not able to fund all students who qualified for funding this year. This left many students were left in limbo as they were supposed to be funded, but their universities and colleges had not received payment for their fees.
Sol Plaatje University was a particular hotspot with more than 1000 students unfunded.
Higher Education and Training Minister Buti Manamela has announced that an additional R13 billion has been allocated to NSFAS so that all students in 2025, who qualify for funding, will receive it.
NSFAS has been running at a loss each year, for the last few years, as the number of students qualifying for NSFAS bursaries has been higher than expected.
"What has been happening over the last 3 years is that the NSFAS have been over-enrolling students compared to what has been allocated by Treasury," explained Manamela.
"So every year we have gone over the allocated budget for the NSFAS. In the first year it was R2,5bn, for the second year it was at R5 billion, this year its at R13,5 billion," added the Minister.
"This year 815,000 students are sitting for Matric". "If we work on the current number we will need next year more than R70billion for NSFAS - just for bursaries."
The Minister has set up a process to find a new funding model for higher education. "How do we have a sustainable student funding model?" posed the Minister. He stressed that this is not just an issue for his department, but for government and society as a whole.
