Nzimande urges institutions to register NSFAS students without upfront registration fee

Higher education minister Blade Nzimande has urged higher learning institutions to allow students funded by the National Student Financial Aid Scheme (NSFAS) to register without paying an upfront registration fee. 

Nzimande made the call in Pretoria on Tuesday during a media briefing on the financial aid scheme’s state of readiness for the 2023 academic year.

He said this must be done while the scheme is finalising the payment schedule.

The NSFAS budget for the financial year is projected to be R47.6bn for about 900,000 beneficiaries, a 7% increase in the number of students qualifying for the bursary compared with last year.

“Out of these qualifying students, more than 60% of undergraduate students in our public university system receive support from the NSFAS and more than 90% of students in technical vocational education and training (TVET) colleges.

“On confirmation of the 2023 academic year allowances, an inflation-linked increase of 5% on all allowances, other than the living allowance, has been effected for our universities,” Nzimande said.

The NSFAS said there is budget uncertainty for this academic year and the next one.

The government, through the higher education department, allocated R47.6bn for student funding, R38.6bn for universities and R8.9bn for TVETs.

“The respective funding is received in four tranche payments in April, June, August and October annually. This means all qualifying students who have been enrolled at a higher education institution will be funded. 

“Furthermore, NSFAS is in a position to provide upfront payments to institutions, to allow for the payment of allowances and minimise the financial impact to institutions due to the fact that NSFAS beneficiaries are not required to pay registration data. This will assist institutions in particular universities and TVET colleges. NSFAS anticipates making upfront payments of approximately R3.5bn to universities and R2.7bn to TVETs,” said the NSFAS.

More money for 2023 students

The minister announced students at universities which provide accommodation and catering will receive a R5,460 learning material allowance and an accommodation allowance capped at R61,500.

Students at university-managed self-catering institutions will receive an allowance for learning materials to the value of R5,460, a R16,500 per annum living allowance and an accommodation allowance capped at R45,000.

Nzimande said the living allowance increment across the board will be R1,650 per month, which is 10% higher than 2022.

“Living with relatives (not in private accommodation) students will receive a learning materials allowance of R5,460 and R16,500 per annum living allowance. Private off-campus accredited accommodation students will receive a learning materials allowance of R5,460, R16,500 per annum living allowance and an accommodation allowance capped at R45,000,” Nzimande said.

For TVET colleges that are own-catered, Nzimande said residences will receive an accommodation allowance to the value of R54,045 per annum, while college-managed and leased self-catered accommodation will for the first time receive a living allowance of R6,000, a personal care allowance of R3,045 and a maximum of R45,000 living allowance paid tot the TVET college.

“TVET students residing less than 10km from the college will receive a R6,000 living allowance, R3,045 personal care allowance and R7,718 travel allowance,” said Nzimande.

All allowances — apart from the living allowance increase — are in line with the 2023 NSFAS eligibility criteria and conditions for financial aid already published and shared with institutions.

Nzimande advised unsuccessful applicants to appeal NSFAS decisions by submitting the relevant supporting documents between January 20 and February 20. 

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