The Department of Higher Education and Training (DHET) has spent more than R100 billion to assist 38 million students pay for their tertiary education since 1991.
While this assistance was initially provided as a loan which students were required to repay, the department now provides comprehensive bursaries through the National Student Financial Aid Scheme (NSFAS).
NSFAS was established in 1999 replacing the Tertiary Education Fund of South Africa (TEFSA). TEFSA provided loans to students and assisted more than 7000 students to access higher education.
Student loans were provided under NSFAS to students until December 2017. In 2018, NSFAS became a bursary scheme and provides comprehensive funding to students from poor and working-class backgrounds.
DHET Director General Dr Nkosinathi Sishi says students who received funding as a loan are still required to repay their loans. They must not blame the government for improving and providing bursaries which students will not be required to pay back.
They add that NSFAS loan repayments ensure that the government can assist students achieve their academic goals and obtain a tertiary education qualification.
The increased number of NSFAS beneficiaries indicates that access to education is progressing.
In 2023, NSFAS received a budget of R47 billion which will be used to fund more than 1.1 million students enrolled at public universities and Technical and Vocational Education and Training (TVET) colleges.
It is estimated that 80% of all university students and 90% of all TVET college students are funded by NSFAS. The scheme pays funded-student’s tuition and registration fees. Students are also provided with an accommodation allowance, living allowances and a learning material allowance.
While more than a million students currently receive funding from NSFAS, many are deemed ineligible for funding. Students who come from households that exceed the income threshold but cannot afford the cost of tertiary education are known as the missing middle.
Sishi adds that work is currently underway to develop a Comprehensive Student Funding model which aims to help all students access education. This funding model is said to have a loan element for missing middle students.
