Nzimande NSFAS
Minister Blade Nzimande Dissolves NSFAS board amid institution’s challenges. Photo: Dr Blade Nzimande/ Facebook.

Home » Nzimande dissolves NSFAS board amid institution’s challenges

Nzimande dissolves NSFAS board amid institution’s challenges

Blade Nzimande implements major changes at NSFAS, including the dissolution of its board, signaling reform efforts.

12-04-24 09:25
Nzimande NSFAS
Minister Blade Nzimande Dissolves NSFAS board amid institution’s challenges. Photo: Dr Blade Nzimande/ Facebook.

Higher Education Minister Dr. Blade Nzimande has initiated significant changes at the National Student Financial Aid Scheme (NSFAS), culminating in the dissolution of its board.

The decision, unveiled during a meeting on Thursday, signals Nzimande’s resolve to address systemic issues within the institution.

NZIMANDE PROPOSES NSFAS UNDER ADMINISTRATION PENDING GAZETTE CONFIRMATION

Announcing his decision, Nzimande revealed plans to place NSFAS under administration. Pending formal confirmation in the Government Gazette on Friday.

“The purpose of the meeting was to communicate the Minister’s decision to dissolve the NSFAS board, with immediate effect, and place the institution under administration,” stated Nzimande.

Further elaboration on the rationale behind the move is slated for Sunday. Providing clarity on the minister’s intentions and the trajectory for NSFAS.

BOARD CHAIRPERSON ERNEST KHOSA RESIGNS

Additionally, the departure of NSFAS board chairperson Ernest Khosa, confirmed by the Department of Higher Education on Thursday, underscores the tumultuous landscape surrounding the organisation.

Khosa’s resignation was initially prompted by a leave of absence in January. This follows allegations of impropriety raised by the Organisation Undoing Tax Abuse (OUTA).

OUTA’s report and leaked audio implicated Khosa and Nzimande in a scandal involving kickbacks from companies contracted by NSFAS.

While the expected 90-day investigation period lingers, the Higher Education Department’s internal inquiry has identified irregularities in the appointment process of four companies tasked with implementing NSFAS’s direct-payment system.

With Khosa’s resignation accepted, the department extends its well wishes for his future endeavors.

NON-PAYMENT OF STUDENT ALLOWANCES, NZIMANDE PLEDGES ACTION

Expressing deep concern over recurring issues of non-payment of student allowances, Nzimande pledges swift action to remedy the situation.

To this end, he has directed NSFAS, with departmental support, to establish a dedicated Task Team. This team will undertake visits to Technical and Vocational Education and Training (TVET) colleges and universities affected by NSFAS-related challenges, with operations already underway.

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