Higher Education Minister Buti Manamela says the department and Nsfas must resolve outstanding student funding issues
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Higher Education and Training Minister Buti Manamela has committed to finalising student accommodation protocols and funding guidelines for the 2027 academic year by the end of October 2026, as the National Student Financial Aid Scheme (Nsfas) faces scrutiny over its readiness to fund students.
Manamela made the commitment during a virtual portfolio committee meeting on Wednesday, where Nsfas was expected to outline its readiness for the 2027 funding cycle and address outstanding challenges affecting students and institutions in 2026.
He said preparations for the new academic year must go hand-in-hand with resolving current funding, registration, allowance and accommodation problems.
“Preparing for 2027 requires us to deal honestly and decisively with the problems of 2026,” Manamela said.
The minister stressed that opening the application portal was only one part of the process, adding that readiness must be measured across applications, verification, funding decisions, appeals, registration, accommodation and payments.
Nsfas 2027 applications close in October
The 2027 Nsfas application cycle opened on 18 September and is scheduled to close on 31 October 2026.
Manamela urged prospective students and their families to apply early, provide the required information and use available support channels if they encounter difficulties.
He said the department expected Nsfas to improve its processing systems, strengthen financial and academic eligibility checks, and coordinate with institutions and public bodies.
The intention is to provide first-time applicants with funding and appeal outcomes before the matric results are released.
“We support that objective and expect credible implementation against it,” Manamela said.
He added that continuing students also needed early funding decisions and timely appeal outcomes to protect their academic progress.
“A funding decision that arrives after a student has lost the opportunity to register has failed that student,” he said.
Outstanding allowances and accommodation under scrutiny
Manamela said outstanding allowances, unresolved registrations, reinstated students awaiting payment, and amounts owed to institutions and accommodation providers remained priorities.
He said the department had engaged the Nsfas board on governance stability, executive capacity, its financial position, outstanding payments and student accommodation.
Interim leadership arrangements are in place through an acting board chairperson and acting chief executive officer, while processes to address board vacancies and strengthen executive capacity continue.
The minister said the department, board and management each had a responsibility to ensure continuity of service and account for commitments made.
On accommodation, Manamela said students could have funding approval but still be unable to study if they lacked safe housing.
He said the accommodation guidelines must clarify reasonable costs, residence grading, payment responsibilities and procedures for dealing with complaints and unsafe accommodation.
The work will involve Nsfas, universities, TVET colleges, student leadership, accommodation providers and relevant experts.
SIU investigating solution-provider contracts
Manamela also raised concerns about Nsfas accommodation solution providers, calling for clarity on procurement, contractual obligations, services delivered, fees and value for money.
He said Nsfas had obtained legal advice on the providers’ mandates and contractual arrangements, which the board must explain how it intends to act on.
The current contractual arrangement has been referred to the Special Investigating Unit (SIU).
“We should not prejudge its findings. Equally, referral for investigation does not relieve the board and management of their continuing responsibility to manage contracts, address failures and protect students,” Manamela said.
He said the department wanted to build public-sector capacity to manage student accommodation, including funding administration, verification, reconciliation and payments.
Manamela said progress would ultimately be measured by whether students could apply, receive timely funding decisions, register, secure safe accommodation and receive the support for which they qualify.
