The government has raised R3.8 billion in initial funds to help support “missing middle” students, says Higher Education, Science and Innovation Minister Blade Nzimande.
The introduction of the Comprehensive Student Funding Model signals a positive step forward. The primary objective is to assist students who, until now, have yet to find support through the National Student Financial Aid Scheme (NSFAS) bursaries and funding policies. This initiative intends to bridge the financial gap to give these students the means to pursue their academic ambitions.
Who are “missing middle” students? These students come from families with a total income of more than R350,000 but not more than R600,000 annually.
To qualify for the loan, students should meet the following criteria:
• Students whose annual household income is between R350,000 to R600,000;
• Technical Vocational Education and Training (TVET) and public university students;
• Undergraduate or postgraduate students;
• 70% science, technology, engineering and mathematics (STEM) programmes (which may be adjusted to include commercial programmes that are in demand in the labour market or entrepreneurial programmes);
• 30% Humanities programmes;
• Students willing to sign a loan agreement;
• Students can apply for the loan in the first, second or third year to continue to be funded through the loan;
• Students are expected to get an average of 60% pass rate, and the loan will cover 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.
The South African Union of Students (SAUS) has welcomed the announcement. It said in a statement: “This intervention by our government is not only long overdue but will ensure that we can broaden access to higher education to all South Africans. This represents a historic victory for the union, as it has for many years called for such an intervention.”
In recent times, NSFAS has been plagued by major problems and allegations of massive corruption. Earlier this month, The Organisation Undoing Tax Abuse (OUTA) released leaked voice recordings and a report where it alleged that NSFAS service providers paid millions of rands in bribes to Nzimande and NSFAS chairperson, Ernest Khosa, as well as at least R1 million to the South African Communist Party (SACP).
In response to the allegations, Khosa has taken a leave of absence, allowing for a thorough investigation into OUTA’s claims. The Democratic Alliance has urged Nzimande to follow suit.
While these controversies cast a shadow over the higher education sector, allocating funds for the “missing middle” brings hope. It signifies a commitment to addressing students’ financial barriers in this income bracket, potentially paving the way for a more inclusive and supportive education system in South Africa.
Image attribution: GovernmentZA, Flickr
