NSFAS Announces Budget Revisions to Address Student Financial Aid Challenges

Nomvalo acknowledged the delays in fund transfers to educational institutions and outlined steps being taken to resolve these issues.

The National Student Financial Aid Scheme (NSFAS) Administrator, Freeman Nomvalo, has announced a revision of the organization’s budget to better manage the increasing number of applications received this year. Speaking at a media briefing in Pretoria on Tuesday, Nomvalo outlined the measures NSFAS is implementing to address financial support delays and enhance service delivery for students.

“Our top priority is to ensure that every eligible student receives the financial support they need to pursue their education,” Nomvalo stated. The briefing covered updates on NSFAS’s financial status, application processes, and strategic partnerships aimed at improving support for students and strengthening inter-departmental collaboration.

Nomvalo acknowledged the delays in fund transfers to educational institutions and outlined steps being taken to resolve these issues. NSFAS is improving its coordination with universities and TVET (Technical Vocational Education and Training) colleges, and a new tracking system will be implemented to monitor fund transfers more effectively.

“We are committed to resolving these issues and are working hard to ensure that the 2025 academic year runs smoothly,” Nomvalo added. He confirmed that with the additional capacity acquired, NSFAS will provide final lists of supported students to universities and colleges by the end of August 2024.

In response to concerns from accommodation providers, NSFAS has processed bulk catch-up payments for accommodation allowances over the past two months. As of July 31, 2024, disbursements for private student accommodation have reached R1 billion. Despite these efforts, some landlords remain dissatisfied. To address this, NSFAS will host Student Accommodation roadshows across the country, starting in KwaZulu-Natal on August 7, 2024, to engage directly with affected landlords.

Nomvalo also highlighted NSFAS's enhanced collaboration with the South African Social Security Agency (SASSA) to improve the verification process for student grants, ensuring timely and accurate support for students receiving social grants.

The Administrator emphasized that NSFAS is dedicated to continuous improvement through policy updates and technological advancements designed to better serve students and streamline operations. “The success of NSFAS is crucial to the development of South Africa and any disruption to our mission must be treated as an attempt to undermine the country's progress,” Nomvalo concluded.

The briefing underscored NSFAS's commitment to addressing the challenges faced by students and accommodation providers, reinforcing its role in supporting higher education across South Africa.