Higher Education Minister Buti Manamela has launched an investigation after discovering that 822 students listed as dead in the Home Affairs database continue to receive NSFAS funding. An Auditor-General report revealed this information. The report also showed that more than 14000 students whose family incomes are too high for eligibility still get funding from the scheme.

REPORT FINDINGS The report identified serious problems with student housing. Accommodation conditions were found to be unsafe & undignified. These conditions violate the agreements that service providers made with NSFAS. Manamela stated that these discoveries show major problems with governance & financial management at the Student Financial Aid Scheme.

He instructed the NSFAS board to start forensic investigations and collaborate with the Special Investigating Unit. Higher Education spokesperson Matshepo Seedat explained that the department is working with NSFAS to complete a student accommodation policy framework. This framework will improve accreditation standards and enforcement methods. The work should finish before the end of April 2026.
NSFAS Payments To Deceased Students: Student Union Demands Urgent Government Investigation
Manamela emphasized his commitment to rebuilding confidence in the institution. He said NSFAS can be fixed. The organization has a crucial national role to ensure that poverty does not prevent access to education. South Africa needs to develop a skilled and educated population.
This goal is worth pursuing. The current administration demands real results and proper accountability. Audit problems must have real consequences. The ministerial directive creates clear operating guidelines for NSFAS. Deputy Ministers will monitor progress closely.

The Director-General will provide monthly reports to the Minister. The Auditor-General will verify whether improvements are genuine. IMPACT ON STUDENT PAYMENTS The ministry confirmed that the investigation will not disrupt payments for 800,000 NSFAS students.
The probe will focus only on fraud and false information. Students with legitimate funding will continue receiving their support. The goal is to build an NSFAS that handles applications correctly and makes timely payments. Students deserve proper accommodation and quick resolution of appeals.
Students who genuinely qualify for NSFAS have no reason to worry about these investigations. The focus is on people who provided false information and on system failures that allowed incorrect payments.
