Minister of Higher Education, Nobuhle Nkabane, assured parliamentarians that stringent verification and auditing measures are being implemented to prevent future misappropriation of NSFAS funds, following the SIU's recoveries.
NSFAS Budget and SIU Investigation
NSFAS manages an annual budget of around R50 billion, providing bursaries and loans to students from disadvantaged backgrounds. President Cyril Ramaphosa's Proclamation R88 of 2022, which authorised the SIU to investigate NSFAS-related matters, resulted in the recovery of nearly R1 billion.
Enhanced Audit Procedures and Disbursement Unit
Member of Parliament Sanele Zondo questioned Minister Nkabane on preventative measures against misappropriation of recovered funds. In response, Nkabane stated that the Department of Higher Education and Training (DHET) has strengthened internal audit procedures to ensure funds are disbursed to eligible recipients.
"Fraudulent claims and/or errors are detected through the Internal Audit function which performs a rigorous review of the payment file before any payment is finalised," she said.
NSFAS is also establishing a dedicated Disbursement Unit for monthly reconciliations, aiming to enhance financial accountability and efficiency. "This unit seeks to ensure that all reconciliations are conducted and finalized on a monthly basis, thereby enhancing financial accountability, and efficiency in the disbursement process," the Minister stated.
"War Room" and Communication Improvements
Minister Nkabane announced the creation of a "war room," to improve communication and problem-solving, The Minister will head the unit and besupported by stakeholders in the higher education sector. This platform will facilitate daily reporting on registration processes and challenges, and provide solutions.
A WhatsApp group has been established for efficient communication between DHET, CAMPROSA, and NSFAS representatives. University registrars are included when urgent attention is required.
