NSFAS Releases Advance Payments To Universities For 2025

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The 2025 academic year will soon commence at universities across South Africa, with the Minister of Higher Education and Training, Dr Nobuhle Nkabane, emphasising the importance of communication to ensure a smooth start.


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Last week, Minister Nkabane met with various stakeholders in the Post-School Education and Training (PSET) sector to assess preparedness for the 2025 academic year. The primary focus was on ensuring an efficient student registration process.

"It is crucial that we engage at this critical time to remain aligned and responsive to any potential challenges in the 2025 registration process," she stated.

The Minister commended the record-breaking 2024 matric pass rate of 87.3%, with half of the candidates securing a bachelor’s pass. Acknowledging the growing demand for higher education, she reaffirmed the government’s commitment to facilitating an efficient registration process.

It is now our responsibility to welcome the Grade 12 class of 2024 into the PSET sector. Every deserving student must have access to further education, as enshrined in Section 29 of our Constitution.

Minister Nkabane reiterated that Section 29 guarantees every student the right to further education, which the state must make progressively accessible through reasonable measures. This, she noted, underscores the need for increased collaboration within the PSET sector.

Addressing NSFAS Challenges

Ensuring a smooth start to the 2025 academic year also requires addressing challenges that affected students in 2024, particularly issues with National Student Financial Aid Scheme (NSFAS) funding.

NSFAS Administrator Freeman Nomvalo provided an update on the funding process, confirming that upfront payments to institutions were made on 10 January 2025.

The upfront payment is based on 2024 registration data, covering one month's allowances and 50% for books. This accounts for 9.5% of the 2025 university allocation of R39 billion.

For universities, these payments cover personal care, living expenses, travel, books, and accommodation. For TVET colleges, the payments cover tuition, with student allowances disbursed directly to learners.

Nomvalo reported that of the 276,072 non-Sassa applications requiring processing, 201,848 had been verified. NSFAS aimed to finalise all 2025 applications by 31 January 2025.

Additionally, 658,943 Sassa-related applications were received, with 606,113 students provisionally funded. NSFAS also received 17,370 student loan applications, which will undergo financial eligibility checks.

Minister Nkabane recently met with accommodation providers and transport operators in eThekwini to address concerns affecting students.

A task team comprising representatives from accommodation providers, transport operators, the Department of Higher Education and Training (DHET), and NSFAS was established to resolve these issues and ensure stability for the academic year.

University Capacity Challenges

Despite the Minister’s assurances, South Africa’s 26 public universities cannot accommodate all qualifying students. Of the 337,158 matriculants who achieved a bachelor’s pass in 2024, only 202,000 first-year places are available at public universities.

This shortfall is further exacerbated by students from previous years who qualified for university entry but could not secure places due to limited capacity.

TVET Colleges as an Alternative

With universities facing space constraints, Technical and Vocational Education and Training (TVET) colleges are being positioned as a viable alternative for students seeking further education and employment opportunities.

Deputy Director-General for Higher Education, Sam Zungu, highlighted the need to shift negative perceptions about TVET colleges.

TVET colleges equip students with practical skills that can lead directly to employment or entrepreneurship. A trade or technical skill empowers graduates to enter the workforce or establish their own businesses.

However, he acknowledged the importance of keeping TVET programmes aligned with evolving industry demands. As technology advances, some traditional skills risk becoming obsolete, making it essential for TVET colleges to adapt their offerings accordingly.

Former Higher Education Minister Blade Nzimande previously noted progress in this area, citing increased collaboration between TVET colleges, industry stakeholders, and funding organisations. These partnerships enhance graduate employability by ensuring qualifications meet modern economic demands.

Infrastructure development and curriculum enhancement remain central to the sector’s growth.

"We have invested significantly in upgrading infrastructure to create more advanced and conducive learning environments," said Zungu.

Additionally, the introduction of occupational qualifications accredited by the Quality Council for Trades and Qualifications aims to improve student outcomes. However, ongoing investment in lecturer training is crucial to keep pace with industry advancements.

Zungu urged parents to consider TVET colleges as a viable option rather than defaulting to universities, which may not have available space or guarantee employment.

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Worried about funding your studies in South Africa? The National Student Financial Aid Scheme (NSFAS) has confirmed they will support students who have received partial bursaries from external sources.

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