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Bad start to new year for Nsfas

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Nsfas confirmed that there are 20 000 allowances which are yet to be concluded.
Nsfas confirmed that there are 20 000 allowances which are yet to be concluded.

THE National Student Fund Aid Scheme (Nsfas) has entered the new year with more than 15 000 allowances still outstanding.

This was confirmed by the scheme following their final year-end extraordinary board meeting on 31 December.

“The Nsfas confirmed that there are 20 000 allowances which are yet to be concluded. These unresolved cases of disbursement require further input and consultation with institutions,” Nsfas spokesman Ishmael Mnisi said.

Mnisi said the year-end extraordinary meeting was aimed at considering reports from the Nsfas management on the various issues which include among others the final disbursement of the 2023 allowances, Nsfas budget adjustment, the loan scheme, accommodation pilot project and the 2024 programme of action.

Nsfas has been in hot water in the past following several complaints of student who had not received their allowances and were without food and other necessities.

These claims were then followed by the dismissal of Nsfas CEO Andile Nongogo over allegations of corruption, fraud and illegal tender dealings.

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This was after a forensic report by Werksmans Attorneys alleged he had a relationship with one of the companies appointed for the new direct payment system.

Such scandals painted the entity in bad light, resulting in the South African Union of Students (Saus) in November 2023 concluding that the entity was “facing grave challenges, to the extent that unless an intervention is made, it is likely to collapse entirely”.

However, the entity refuted these allegations and claimed they were not on the brink of collapse.

While the entity is aware of the outstanding disbursement, Mnisi vowed that they would conclude it before the end of January.

“The Nsfas is determined to conclude all the outstanding 2023 disbursements by the 15th of January 2024, in consultation with the affected institutions. This will ensure that the 2023 allowance don't affect returning students for the 2024 academic year,” Mnisi said.

In the meantime, Mnisi concluded that the Nsfas board will engage with partners on the preparations for the 2023 academic year and the Nsfas eligibility criteria and the conditions for the financial aid.

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