Mismanagement in South Africa’s higher education system—especially within the National Student Financial Aid Scheme (NSFAS)—is stripping our country’s students of their dignity. Higher education holds the promise of economic revitalisation, reducing unemployment and empowering the next generation to pursue their aspirations. Yet, the state of this critical sector suggests that the government is failing its most important exam.
A Disturbing Lack of Political Will
The Department of Higher Education and Training is a glaring example of neglect. Minister Nobuhle Nkabane inherited a department riddled with dysfunction from her predecessor, Blade Nzimande. In the financial year ending March 2024, the department achieved only 56 of its 110 targets. However, instead of rolling up her sleeves to address this dismal performance, Nkabane appears more interested in jet-setting. In her first six months in office, she has already visited Brazil and made two trips to China.
Minister Nkabane needs to be reminded of the challenges at home, where skills development should be her top priority. Beyond the NSFAS debacle, some of the 21 Sector Education and Training Authorities (SETAs), which are tasked with addressing skills shortages, are mired in financial mismanagement. Millions are spent on executive bonuses and travel expenses, while only 53,518 students registered for skills programs in the previous financial year—a mere third of the 149,000 target. This reflects a disturbing lack of political will to harness skills development as a tool to combat unemployment.
Not Enough Universities and TVET Colleges
South Africa’s higher education system is overly reliant on too few universities. Of the 337,158 matriculants in 2024 who qualified for Bachelor studies, only 202,000 will find places at universities, leaving many hard-working and deserving students stranded.
Consider these staggering numbers: the University of Johannesburg received 760,000 applications for just 10,500 placements, the Cape Peninsula University of Technology can accommodate only 9,235 of its 518,300 applications, and North-West University has just 13,000 spaces despite receiving 390,000 applications.
This bottleneck deprives South Africa’s economy of vital skills, as universities cannot accommodate students in fields such as mathematics, science, engineering, and finance—the very disciplines needed to reignite economic growth. Compounding this issue is a basic education system that prioritises mediocrity, with a 30% subject pass rate that undermines learners’ confidence and perpetuates a cycle of underachievement.
Beyond universities, Technical and Vocational Education and Training (TVET) colleges should play a pivotal role in equipping young South Africans with critical skills. However, these institutions remain underfunded and underutilised. The government’s neglect of TVET colleges is yet another glaring failure that exacerbates the skills deficit.
Chronic NSFAS Mismanagement and Shrinking Financial Support
NSFAS, once a lifeline for financially struggling students, has become a symbol of mismanagement and corruption. From unpaid loans to reduced funding, its failures have left students in limbo. The Private Student Housing Association, which accommodates over 80,000 students, claims that NSFAS owes R44 million from the previous year. If this debt is not paid, thousands of students could lose access to accommodation.
Meanwhile, government funding for NSFAS is shrinking. The latest Medium-Term Expenditure Framework (MTEF) projects a R5 billion reduction between the current financial year and 2026/27, with higher education spending as a percentage of GDP expected to decline from 2% to 1.78%. Already, the number of students supported by NSFAS dropped from 826,084 in 2021 to 810,376 in 2022. By 2025, NSFAS expects to fund only 678,000 university students.
The situation is equally dire for postgraduate funding. The Department of Science and Innovation and the National Research Fund (NRF) have reduced support for Master’s students from over 1,000 in 2023 to just 348 in 2025. This funding erosion forces students, their families, and universities to bear an unsustainable financial burden while expectations for improved access and outcomes remain unchanged.
By failing to invest adequately in higher education, the government is not merely failing the youth but compromising the country’s future. This is not just a misstep; it is an outright forfeiture of South Africa’s opportunity to thrive.
ActionSA’s Higher Education Funding Plan
ActionSA’s higher education funding plan is the most comprehensive of any political party in South Africa. It ensures that no academically qualified student is excluded from tertiary education due to financial constraints. The plan includes:
1. Universal Access to Funding: Fully funded bursaries for all students who cannot afford tuition fees. This initiative is part of our Inclusive Economic Empowerment policy, which allocates 10% of the Opportunity Fund—a replacement for BBBEE—to tertiary education.
2. Reallocation of Government Expenditure: Redirecting funds from state-owned enterprise bailouts and the VIP protection budget to higher education, prioritising education over government perks.
3. Expansion of Educational Institutions: Establishing more public universities and TVET colleges to accommodate the growing number of Bachelor-pass matriculants. ActionSA also plans to reintroduce specialised training colleges for teaching, nursing, agriculture, and policing.
4. Skills Development and Lifelong Learning: Aligning education with labour market demands by implementing skills development programs that empower young people to become employers rather than employees, while promoting lifelong learning opportunities.
Restoring Dignity Through Education
Higher education is more than a pathway to employment; it is a cornerstone of dignity and self-worth. When students are denied access to education or forced to endure financial uncertainty, their dignity is eroded. A government that undermines education is not just failing its mandate—it is betraying its youth.
ActionSA views the funding of higher education not as an expense but as an investment in South Africa’s future. By prioritising education and restoring students’ dignity, we can rebuild hope, empower our youth, and set the nation on a path to prosperity. Let us not allow South Africa’s higher education system to remain a cautionary tale of squandered potential. It is time to pass this test—for the sake of our youth and the future of our country.
Dignity of South Africa’s Youth at Stake as New Academic Year Kicks Off
Mismanagement in South Africa’s higher education system—especially within the National Student Financial Aid Scheme (NSFAS)—is stripping our country’s students of their dignity. Higher education holds the promise of economic revitalisation, reducing unemployment and empowering the next generation to pursue their aspirations. Yet, the state of this critical sector suggests that the government is failing its most important exam.
A Disturbing Lack of Political Will
The Department of Higher Education and Training is a glaring example of neglect. Minister Nobuhle Nkabane inherited a department riddled with dysfunction from her predecessor, Blade Nzimande. In the financial year ending March 2024, the department achieved only 56 of its 110 targets. However, instead of rolling up her sleeves to address this dismal performance, Nkabane appears more interested in jet-setting. In her first six months in office, she has already visited Brazil and made two trips to China.
Minister Nkabane needs to be reminded of the challenges at home, where skills development should be her top priority. Beyond the NSFAS debacle, some of the 21 Sector Education and Training Authorities (SETAs), which are tasked with addressing skills shortages, are mired in financial mismanagement. Millions are spent on executive bonuses and travel expenses, while only 53,518 students registered for skills programs in the previous financial year—a mere third of the 149,000 target. This reflects a disturbing lack of political will to harness skills development as a tool to combat unemployment.
Not Enough Universities and TVET Colleges
South Africa’s higher education system is overly reliant on too few universities. Of the 337,158 matriculants in 2024 who qualified for Bachelor studies, only 202,000 will find places at universities, leaving many hard-working and deserving students stranded.
Consider these staggering numbers: the University of Johannesburg received 760,000 applications for just 10,500 placements, the Cape Peninsula University of Technology can accommodate only 9,235 of its 518,300 applications, and North-West University has just 13,000 spaces despite receiving 390,000 applications.
This bottleneck deprives South Africa’s economy of vital skills, as universities cannot accommodate students in fields such as mathematics, science, engineering, and finance—the very disciplines needed to reignite economic growth. Compounding this issue is a basic education system that prioritises mediocrity, with a 30% subject pass rate that undermines learners’ confidence and perpetuates a cycle of underachievement.
Beyond universities, Technical and Vocational Education and Training (TVET) colleges should play a pivotal role in equipping young South Africans with critical skills. However, these institutions remain underfunded and underutilised. The government’s neglect of TVET colleges is yet another glaring failure that exacerbates the skills deficit.
Chronic NSFAS Mismanagement and Shrinking Financial Support
NSFAS, once a lifeline for financially struggling students, has become a symbol of mismanagement and corruption. From unpaid loans to reduced funding, its failures have left students in limbo. The Private Student Housing Association, which accommodates over 80,000 students, claims that NSFAS owes R44 million from the previous year. If this debt is not paid, thousands of students could lose access to accommodation.
Meanwhile, government funding for NSFAS is shrinking. The latest Medium-Term Expenditure Framework (MTEF) projects a R5 billion reduction between the current financial year and 2026/27, with higher education spending as a percentage of GDP expected to decline from 2% to 1.78%. Already, the number of students supported by NSFAS dropped from 826,084 in 2021 to 810,376 in 2022. By 2025, NSFAS expects to fund only 678,000 university students.
The situation is equally dire for postgraduate funding. The Department of Science and Innovation and the National Research Fund (NRF) have reduced support for Master’s students from over 1,000 in 2023 to just 348 in 2025. This funding erosion forces students, their families, and universities to bear an unsustainable financial burden while expectations for improved access and outcomes remain unchanged.
By failing to invest adequately in higher education, the government is not merely failing the youth but compromising the country’s future. This is not just a misstep; it is an outright forfeiture of South Africa’s opportunity to thrive.
ActionSA’s Higher Education Funding Plan
ActionSA’s higher education funding plan is the most comprehensive of any political party in South Africa. It ensures that no academically qualified student is excluded from tertiary education due to financial constraints. The plan includes:
1. Universal Access to Funding: Fully funded bursaries for all students who cannot afford tuition fees. This initiative is part of our Inclusive Economic Empowerment policy, which allocates 10% of the Opportunity Fund—a replacement for BBBEE—to tertiary education.
2. Reallocation of Government Expenditure: Redirecting funds from state-owned enterprise bailouts and the VIP protection budget to higher education, prioritising education over government perks.
3. Expansion of Educational Institutions: Establishing more public universities and TVET colleges to accommodate the growing number of Bachelor-pass matriculants. ActionSA also plans to reintroduce specialised training colleges for teaching, nursing, agriculture, and policing.
4. Skills Development and Lifelong Learning: Aligning education with labour market demands by implementing skills development programs that empower young people to become employers rather than employees, while promoting lifelong learning opportunities.
Restoring Dignity Through Education
Higher education is more than a pathway to employment; it is a cornerstone of dignity and self-worth. When students are denied access to education or forced to endure financial uncertainty, their dignity is eroded. A government that undermines education is not just failing its mandate—it is betraying its youth.
ActionSA views the funding of higher education not as an expense but as an investment in South Africa’s future. By prioritising education and restoring students’ dignity, we can rebuild hope, empower our youth, and set the nation on a path to prosperity. Let us not allow South Africa’s higher education system to remain a cautionary tale of squandered potential. It is time to pass this test—for the sake of our youth and the future of our country.