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Resolving NSFAS Funding Problems: Pressure Mounts on Authorities



Resolving NSFAS Funding Problems: Pressure Mounts on Authorities

Resolving NSFAS Funding Problems: Pressure Mounts on Authorities. As the National Student Aid Financial Scheme (NSFAS) initiates an investigation, there is growing pressure on authorities to address the funding challenges. Key leaders are being urged to be held accountable amidst concerns over alleged irregularities. In this article, we delve into the current developments and the call for swift action.

Pressure for Accountability and Action

The NSFAS board’s decision to launch an investigation into allegations of irregularities surrounding CEO Andile Nongogo has sparked a demand for accountability. Lawmakers and citizens alike are closely watching how this situation unfolds, seeking a transparent resolution to the issues at hand.

Concerns over Fund Administration

The administration of the substantial R50 billion fund has raised concerns among experts. Dr. Bernard Koma, a specialist in governance matters, has emphasized the importance of effective fund administration. Koma advocates for a comprehensive review of the current administration to ensure alignment with the fund’s core objectives.

Minister’s Silence Raises Questions

The apparent silence of Minister of Higher Education, Blade Nzimande, on the NSFAS matter is raising eyebrows. The lack of intervention from the Ministry has left many wondering about the future of the fund and the impact on students. Without decisive action from the Minister, experts like Koma believe that the issues plaguing the fund may persist.

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Investigating Tender Irregularities

An investigation into alleged tender irregularities has taken center stage. Four service providers tasked with disbursing student allowances are under scrutiny. The contract, valued at over R1.5 billion, has come into question due to leaked audio recordings revealing the involvement of the CEO in bid meetings.

Parallel Probe by the Public Protector’s Office

The Public Protector’s Office is also conducting a separate investigation into the procurement process of the appointed service providers. The complaint lodged by William Sezoe from the DA Students Organisation has prompted this additional inquiry. Any findings of irregularities will be promptly reported to relevant financial authorities.

Urgent Need for Resolution and Stability

Universities South Africa (Usaf) has voiced serious concerns about the disruptions caused by NSFAS funding challenges. The organization is urging for a quick resolution to prevent further instability within the higher education sector. The decision to directly disburse student allowances has faced criticism for potential flaws in its implementation.

Challenges in Accommodation and Debt

The decision to cap accommodation funding has led to a series of challenges. Multi-year contracts with landlords clash with NSFAS’s payment limits, resulting in mounting student debt and potential eviction risks. Usaf is pushing for immediate intervention from Minister Nzimande to safeguard students’ academic journeys.

Union’s Cooperation in Investigation

The National Education and Health Workers’ Union (Nehawu) has stepped up in cooperation with ongoing investigations. The union’s willingness to provide evidence and support the probe into NSFAS supply chain matters underscores the commitment to transparency and accountability.


As the investigation into NSFAS funding problems gains momentum, the pressure on authorities to take decisive action continues to rise. The outcome of these investigations will undoubtedly shape the future of higher education funding and administration, making it a critical issue for all stakeholders involved.

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