Manamela welcomes Public Protector findings on NSFAS systemic failures

Minister Buti Manamela says placing the NSFAS under administration was part of broader efforts to restore stability, strengthen financial management and ensure students receive the support they need.

Higher Education and Training Minister Buti Manamela has welcomed the Public Protector’s findings on systemic inefficiencies at the National Student Financial Aid Scheme (NSFAS), saying the issues identified were among longstanding challenges that contributed to his decision to place the scheme under administration.

This comes after the Public Protector released a Section 7(9) notice on Tuesday detailing systemic problems in the administration, governance, funding, co-ordination and oversight of student financial aid.

Ministry spokesperson Matshepo Seedat said the issues identified in the notice had been a longstanding concern.

“The issues identified in the report are not new. They are among the longstanding governance, administrative and operational challenges at NSFAS that have been a matter of concern to the Minister,” she said, adding the challenges contributed to Manamela’s decision to place NSFAS under administration.

The findings were also consistent with concerns raised in a report the Minister received earlier this month from NSFAS administrator Professor Hlengani Mathebula, which identified a range of challenges requiring urgent intervention.

In March, following a meeting with the Auditor-General of South Africa (AGSA) on the state of NSFAS, Manamela raised serious concerns about the scheme’s financial management and governance.

The AG had issued NSFAS with a disclaimer opinion, with its accounting records and supporting evidence so inadequate that it could not be determined if the financial statements were reliable.

Seedat said the administration intervention was aimed at stabilising NSFAS, strengthening its governance and financial management, addressing systemic weaknesses and ensuring the scheme was able to fulfil its mandate effectively.

“Measures to remedy the situation will continue to be explored,” she said.

“The administration of NSFAS was part of this broader effort to restore stability, strengthen systems and ensure that the scheme is capable of delivering support to students.”

Seedat said Manamela would continue to co-operate with the Public Protector as the investigation proceeds and would give due consideration to any further findings and recommendations arising from the process.

She added the wellbeing of students and post-school education and training institutions remained at the centre of the Minister’s intervention.

NSFAS exists to enable students who would otherwise not be able to afford higher education to access and participate in the post-school education and training system, Seedat said.