The National Student Financial Aid Scheme (NSFAS) has announced plans to release R3.7 billion in January 2024 as upfront payments to universities. These funds will ensure timely disbursement of student allowances for the 2025 academic year, including provisions for students enrolled in Health Science programmes, which start earlier than others.
What the R3.7 Billion Covers
NSFAS provides comprehensive bursaries and student loans to deserving learners enrolled in approved courses at universities and TVET colleges. This funding includes money for tuition and registration fees as well as several allowances.
The R3.7 billion payment represents 10% of the total funding allocated for the 2025 academic year, with NSFAS projecting total payments to reach R37 billion for university students.
In addition, NSFAS has confirmed that a separate upfront payment of 20% of TVET Colleges’ tuition allocations—amounting to R641 million—will be disbursed by 10 January 2025.
Calls for Accurate Data to Prevent Delays
The Portfolio Committee on Higher Education has urged institutions to submit accurate student registration data to NSFAS promptly. This is aimed at preventing delays in allowance disbursements, a recurring issue in previous academic years.
The committee also emphasized resolving problems from the 2024 registration period, including delayed application processing, funding appeals, and disbursement challenges. They further called for the standardization of allowances for university and TVET college students.
Decentralisation: Regional NSFAS Offices Coming Soon
NSFAS is moving forward with decentralisation plans to improve accessibility and efficiency. Four regional offices will be opened in KwaZulu-Natal, Gauteng, Eastern Cape, and Western Cape.
- The Gauteng office will also serve Limpopo, North West, and Mpumalanga.
- The Western Cape office will extend its services to the Northern Cape.
Teams will be deployed to these regions between January and February 2025, with the full roadmap expected to be finalized by the end of November 2024.
Shift in Student Accommodation Funding
NSFAS has confirmed the conclusion of its pilot accommodation project and will fully implement the NSFAS Accredited Student Accommodation Programme.
By 2026, accommodation disbursements will no longer be made directly to individual students. Instead, payments will go directly to accredited or recognized accommodation providers. This shift aims to streamline the process and ensure that beneficiaries have access to suitable housing options.
