Deputy Minister of Higher Education, Science and Technology Buti Manamela revealed that his department is working with the National Student Financial Aid Scheme (NSFAS) to settle outstanding debt to private accommodation providers.
Last month, the Private Student Housing Association raised concerns that students may be left without accommodation, due to NSFAS's outstanding debt of R44 million for student accommodation from the previous year.
South Africa is currently grappling with a severe student accommodation crisis, with a shortage of over 500,000 beds. The crisis was highlighted as universities opened across the country two weeks ago, with students taking to the streets to protest the accommodation shortages.
Some students were forced to sleep in libraries and outside university premises, exacerbating concerns about student welfare and access to education.
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President Cyril Ramaphosa, during his State of the Nation Address three weeks ago, also highlighted the government's efforts to tackle the growing student crisis in South Africa.
A key announcement was the approval of 12 blended finance projects worth nearly R38 billion, which includes funding for student accommodation.
However, following the pronouncement, student leaders raised concerns about the projects, with EFF member of Parliament, Sihle Lonzi slamming Minister of Human Settlements, Thembi Simelane for failing to address the crisis.
“She stands here and claims to have resolved the issue of human accommodation in South Africa. Perhaps she doesn't know, Minister, there's a shortage of over 500,000 beds in South Africa. You don't just resolve it by taking money from VBS and buying a coffee shop,” said Lonzi.
Manamela has revealed that the NSFAS has committed to settle the debt that is owed to private accommodation providers.
“I had a long meeting with senior members of NSFAS, some of those commitments include ensuring that we mop up the debt that is owed to private accommodation providers so that we start on a clean slate. They have indicated to me that they have started with payment for most of those beginning of this year," Manamela said according to the SABC.
The minister urged private accommodation providers not to prejudice NSFAS-funded students.
"This is a big issue where private accommodation providers prejudice students. We want to use this opportunity to call on them to deal with NSFAS and not prejudice students.”
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