CAPE TOWN - Acting NSFAS CEO Waseem Carrim says the fund cannot meet current demands.
Carrim says a new funding model is needed to avert the crisis. This comes as the University of Cape Town and its Student Representative Council take NSFAS to court over the accommodation funding cap.
READ: NSFAS board distances itself from Public Protector’s irregular funding findings
Students in self-catering residences receive a maximum of R52,000 for accommodation, leaving them to cover any shortfall themselves.
In addition, NSFAS provides R1,716 per month for 10 months. However, students say the funding falls short, as property prices vary, leaving some owing thousands of rands by the time they graduate.
NSFAS says it is buckling under roughly R49.5 billion in unpaid historic loans and argues that a revised funding model is needed to address the crisis.
Deputy Higher Education Minister Yusuff Cassim says the issues raised by students are valid and will be escalated to the minister’s office.
READ: 40,000 students improperly received NSFAS funding - report
The students have given both parliament and NSFAS 14 days to respond to the issues.