[ad_1]
The Department of Higher Education and Training has announced that it has created a R3.8 billion fund within the National Student Financial Aid Scheme (Nsfas) aimed at assisting the country’s “missing middle” students.
According to an announcement made by the department’s minister, Blade Nzimande, the new Comprehensive Student Funding Model introduces measures to support a wider-ranging category of students – including those who are currently not supported by the Nsfas bursary and funding policy.
This new category is for students whose families who have a total income of more than R350,000, but not more than R600,000 per annum.
Previously, Nsfas funding was only available to households falling in the low-income category (>R350,000 p/a). Between 2019 and 2022, Nsfas disbursed R123 billion worth of loans for 2,918,624 beneficiaries.
According to the most recently conducted National Income Dynamic Study, it is estimated that 85.6% of all households fall in the low-income category, and 11% of households fall into the missing middle category.
This newly-introduced category by Nsfas “will ensure that the missing middle students will now be able to access financial support from government in a form of a loan to pursue their studies,” said Nzimande.
The Comprehensive Student Funding Model is said to be implemented in phases. The first and current phase (2024 – 2025) allocates a total of R3.8 billion. R1.5 billion is from the National Skills Fund (NSF), and R2.3 billion is from the Sector Education and Training Authorities (Setas).
“This amount will fund 47% of the missing middle students, that is, 31,884 of the estimated 68,446 missing middle,” said Nzimande.
Phase two (2025 – 2034) of the funding model seeks to increase government funding contribution from R31.6 billion to R42.1 billion over ten years – approximately equating to an increase from R3.1 billion to R4.2 billion annually.
In order to qualify for the government loan, certain requirements and conditions have been announced:
- Students household income must be between R350,000-R600,000;
- Funding is for TVET and public university students;
- For undergraduate or postgraduate students;
- 70% allocation for science, technology, engineering and mathematics (STEM) programmes;
- 30% allocated for humanities programmes; and
- Students must be willing to sign a loan agreement.
Conditionalities:
- Students can apply across their years of study, but are expected to get a 60% pass rate (average);
- Support includes tuition, learning material and accommodation;
- Students who obtain 70% or above on average and within the prescribed time will get a 50% reduction on loans on request.
Read: Ranking the top 22 universities in South Africa in 2024
[ad_2]
Source link