Higher Education Minister Buti Manamela has directed the board of the National Student Financial Aid Scheme (NSFAS) to urgently audit all accredited private student accommodation providers and suspend those found to be in breach of contractual standards.
This follows a damning report by the Auditor-General of South Africa, which highlighted unsafe and undignified living conditions for students, alongside serious governance and financial failures within NSFAS.
The scheme received a disclaimer audit opinion for the 2024–2025 financial year, the most severe outcome, pointing to a breakdown in accountability and oversight.
The report found widespread irregularities, including hundreds of students recorded as deceased still receiving funding, thousands of ineligible beneficiaries, and cases of double-dipping with other social grants. The Minister has instructed NSFAS to activate its forensic unit and work with the Special Investigating Unit to probe fraud and recover funds.
Manamela said the conditions faced by students were unacceptable and required immediate intervention.
“Students are being housed in unsafe and undignified conditions, far from campuses, and in some cases near taverns. This is a violation of their basic dignity and cannot be allowed to continue,” he said.
He added that accountability would be enforced across the system.
“We are committed to NSFAS. We are committed to the students. And we are committed to building an institution that can be trusted,” Manamela said.
The department says the audit of accommodation providers and broader reforms will be completed in the coming months, with progress to be closely monitored.
Photo: X/ @HigherEduGovZA
