Nsfas a complete mess as 32 000 students miss meal allowances
· Citizen
The National Student Financial Aid Scheme (Nsfas) is under fire, with experts describing it as flawed, mismanaged and in urgent need of restructuring.
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Economist Dawie Roodt calls the system “a complete mess” from its inception, while student leaders accuse cartels of hijacking allowances meant for the poor.
Nsfas ‘a complete mess’
Amid mounting frustration over unpaid accommodation, defunded first‑years, and corruption claims, Higher Education Deputy Minister Yusuf Cassim insists reforms and restored payments are underway.
“For starters, South Africa sends far too many students to university,” said Roodt.
South Africa needs to send fewer students to university, improve the quality of SA universities and pay much more attention to primary education.
“South Africa’s primary education is among the worst in the world,” Roodt added.
He asked what the point was of sending so many students to university who don’t belong there, adding many students cannot even pass their first year.
He said these days, everyone studies social sciences, yet no-one wants to hire a social scientist.
‘Got back to basics’
“We need to go back to basics. We need to close half the universities and convert them into teacher, nursing, and vocational training colleges,” he said.
“Only the best students should receive Nsfas funding.”
Cassim said following his initial official visit to Unisa and subsequent meeting Nsfas administrator Hlengani Mathebula to address student concerns and challenges, Nsfas made several commitments.
“Central University of Technology (CUT) had not paid accommodation allowances for 1 149 students in unaccredited residences. After raising the issue with Nsfas on 14 July, Nsfas sent officials to assess the affected accommodation sites at CUT on 15 July.
“Thereafter, Nsfas approved the institution to pay the affected students an accommodation allowance of up to R2 500 a month.”
Cassim said the issue of 374 Nelson Mandela University students on extended study programmes who have been adversely affected by the 2026 qualification code updates process has since been resolved.
374 students affected by qualification code updates resolved
“As of 20 July, the affected students have been included in the current disbursement cycle, with payments scheduled for August,” he said.
“As previously committed in our meeting, Nsfas has processed 1 706 Unisa gap investigations, representing the number of students whose funding has been restored.
“A further 656 students will also have their gap funding finalised after quality assurance processes are concluded, bringing the current total of successful gap investigations at Unisa alone to 2 271.”
Mayibuye Youth Movement national president Keamogetswe Masike said they were frustrated Nsfas allowances were insufficient, or had been stolen.
“Cartels have hijacked the national financial aid scheme, which has institutionalised what we have called corruption. Funds that are supposed to be given to students are also being redirecting,” he added.
Masike said over 32 000 students have not received their meal allowances, of which between 10 000 and 15 000 were defunded. About 90% of them were first-year students.
Mayibuye Youth Movement says funds stolen
These are students who just graduated from post-secondary school education and applied to go to university, approved by Nsfas, only to be defunded without any legitimate reasons,” he said.
Masike said service providers were evicting students living in private student accommodation because they can’t pay for those beds.
“Officials are ignoring the cries of students because they know they are directly involved in the looting of funds,” he said.
Masike said some students travelled from as far as the villages of KwaZulu-Natal, Limpopo and Eastern Cape to study.
But when these students were confronted with these challenges, no-one wanted to take accountability.
“Nsfas needs to decentralise its offices to campuses so that students can go directly to officials for assistance,” he said.
Inquiry into corruption
Masike said a commission of inquiry should investigate the Nsfas challenges.
“Students are hungry, students are angry and some have dropped out or deregistered,” he said.