Source: Government of South Africa
NSFAS Administrator submits stabilisation plan to restore governance
The National Student Financial Aid Scheme (NSFAS) Administrator, Professor Hlengani Mathebula, has submitted the Administration’s Stabilisation Plan to the Minister of Higher Education and Training, Buti Kgwaridi Manamela, for consideration.
The submission, which follows the requirements of the relevant Government Gazette, was made this week in the presence of the two Deputy Ministers, the Director-General, Deputy Directors-General, and Ministerial advisors.
Mathebula explained that the plan is a product of a collaborative effort between the Administration and management team, who have forged ties to produce the work.
The plan details a carefully considered catalogue of interventions for NSFAS, which has been systemically hollowed out to the extent that its resources have been stripped of required robust institutional safeguards.
“Co-creation is the only path for my Administration, as our tenure is only for a specified period. This means that management and staff must have enough acumen to lead NSFAS post our time,” Mathebula said.
He said the stabilisation approach will be practical, sequenced and evidence-based. It will distinguish between immediate containment actions, diagnostic work, remedial implementation, monitoring, escalation and the transition back to ordinary governance.
Mathebula said his Administration has therefore endeavoured to steer clear of analysis paralysis and focus on results-oriented actions, stating that NSFAS cannot afford to remain trapped in endless cycles of diagnosis.
The Administrator emphasised that “the time for implementation is now”, noting that a governance structure premised on workstreams has been created to drive execution throughout the organisation.
The workstreams have been tasked with carrying out specific responsibilities to address key risks, implement corrective measures and resolve critical operational challenges.
“The top priorities include governance, audit and consequence management, Information and Communications Technology (ICT), data integrity and analytics, student support, appeals and fair access, TVET colleges, reconciliation, student accommodation and stakeholder confidence. This state of our organisation is parlous, which has facilitated selfish interest to take root.
“Therefore, my Administration’s decisive actions against the rot have provoked spirited opposition from those whose interest is being threatened. We have witnessed an emergence of media attacks which are fueled by the so-called internal sources who are unfortunately manipulating the sacred journalistic tradition to drive their own agendas of looting the resources earmarked for our children,” Mathebula said.
He added that President Cyril Matamela Ramaphosa’s intervention via the Special Investigating Unit (SIU) was an apt acknowledgement of NSFAS’s governance failures, with both Supply Chain safeguards and Internal Audit capacity being significantly eroded.
“NSFAS has 66 major audit findings with a disclaimer audit opinion from the Auditor-General and 115 overdue internal audit findings, respectively. Special Investigation Unit findings are a matter of public record.
“There are nine material irregularities: Deceased Funding, Income Threshold Breaches, Academic Progression Ignored, Duplicate Grant Payouts, Unresolved Appeals, Procurement and Tender Maladministration, Data Verification Breakdowns, Accommodation Contract Breaches, Accommodation Contract Breaches and Weak Consequence Management,” the Administrator said.
According to Mathebula, ICT is NSFAS’s biggest operational risk, as it is fragmented, manual and not fit for purpose.
“It holds everything up to peak frustration of students and partners, including institutions.”
The Administration said he is prioritising data analytics measures that directly improve funding accuracy, payment reliability, fraud prevention, audit readiness, and student service outcomes.
“Student accommodation has also been identified as a high-risk area both operationally and reputationally. It requires tighter controls, clearer visibility, faster claims processing and stronger provider oversight. Students deserve a financial aid scheme that not only meets but exceeds its stated mandate,” Mathebula said.
He also called on stakeholders to work with the Administration to rebuild NSFAS, strengthen accountability, and restore public confidence in the institution. – SAnews.gov.za
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