Red tape holds up extra R2bn in student aid

The department of higher education said that the government had allocated an additional R2-billion to the National Student Financial Aid Scheme (NSFAS) to ensure that both existing and new students were supported financially.

It said universities had been requested to submit information to NSFAS on all qualifying students who were identified as unfunded or underfunded in 2013, 2014 or 2015.

They also had to furnish details of first-year students in 2016 who had been allowed to register but were not covered by the original budgeted allocations sent to universities.

The process depends on universities submitting data after completing the intake of NSFAS-eligible students, it said.

The department said that, once it has received this information, it will be verified to see how many first-year students qualify for NSFAS funding. It will also assess whether further funding is required on top of the extra R2-billion allocation.

Asked when the monies would be paid to universities, the department said: “Government will continue to work to ensure that all NSFAS unfunded, registered students are supported.”

Commenting on the delay in payments, it said that the registration period was delayed this year because of the student unrest, adding: “Full details of students who applied, those who have been funded and those who may not be funded due to insufficient funds had to be collated and verified.”

The department said it was aware that some universities were under strain “with regards to their cash flow”.

“However, all universities were assisted with an upfront payment from NSFAS and also received a contribution in January and April towards the zero percent fee increase from government.”