The National Student Financial Aid Scheme (NSFAS) is facing mounting criticism after it was revealed that more than 800 deceased students were paid funding, exposing serious weaknesses in its systems.
The payments were uncovered in a report by the Auditor-General of South Africa, raising concerns about poor data verification and lack of oversight within the scheme.
Higher Education spokesperson Matshepo Seedat said the department is working with NSFAS to address the issues, including finalising a student accommodation policy framework aimed at strengthening accountability and enforcement by April 2026.
Despite the revelations, government maintains that NSFAS remains vital in helping disadvantaged students access higher education, adding that new oversight measures — including monthly reporting and monitoring by the Auditor-General — will be implemented to prevent further irregular payments.
The scandal has intensified calls for accountability as pressure grows to restore public confidence in the student funding system.
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