By Lehlohonolo Lehana.
Higher Education Minister Blade Nzimande has appointed the former CEO of the South African Institute of Chartered Accountants, Freeman Nomvalo, as the new administrator of the National Student Financial Aid Scheme (NSFAS).
This came after Nzimande dissolved the NSFAS board and placed the entity under administration with immediate effect.
Nomvalo is the former accountant general at the National Treasury. He will take over the governance, management, and administration of NSFAS for a period of two years.
In the gazette, Nzimande said he raised serious concerns to the board. These were about the failure of NSFAS to effectively confirm funding for students and disburse funding timeously to students.
“The NSFAS has been embroiled in an unprecedented number of challenges over recent months. In response to these challenges, the minister engaged the board on several occasions on various solutions. …These include a turnaround strategy, which has not been achieved within agreed timelines,” reads the gazette.
The appointment has been widely welcomed by different organisations.
Education activist Hendrick Makaneta said it’s good that a chartered accountant has been appointed to deal with the issues at NSFAS.
Makaneta said Nzimande should be hailed for taking practical steps by putting finance and audit professional at the centre of the NSFAS leadership.
“We hope that the administrator will pave a way towards the ultimate appointment of the new chairperson and the new board of NSFAS in the near future.
“Finance and audit professionals are well known for maintaining oversight on all the matters that have to do with the financial well-being of companies and the state. It is precisely for this reason that we anticipate that the administrator will put in place all systems to ensure that students receive their allowances without delay.”
The South African Students Congress (SASCO) said it’s hopeful that the appointment of Nomvalo as an administrator will help improve the state of the funding scheme.
SASCO’s Alungile Kamtshe said an administrator was much needed for the funding scheme.
“The board was kept busy with fighting and not taking crucial decisions that will impact the welfare of students positively.”
Nomvalo may appoint the necessary technical expertise to provide support during the period of administration. This in consultation with the department.