Johannesburg – Despite having a massive annual budget of over R50 billion, things have gone pear-shaped at the National Student Financial Aid Scheme (NSFAS), which supports more than 1.2 million students at universities and Technical and Vocational Education and Training colleges.
This after the High Court ruling in the matter of Ramashia and Others v Minister of Higher Education and Training and Others.
The court on Friday, 14 August 2026, ruled that the appointment of NSFAS Administrator Professor Hlengani Mathebula was “irrational”.
The court also suspended his appointment pending the determination of Part B of the review application.
Earlier this year, Higher Education and Training Minister Buti Manamela removed seven NSFAS board members before appointing Professor Mathebula as the scheme’s administrator.
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However, on Friday, the court directed the former Board members to resume the management, governance and administration of NSFAS in the interim.
Responding to the ruling, Minister Manamela said he was “giving the judgment urgent consideration and has sought legal advice on its implications, including the available legal remedies and the appropriate steps to be taken”.
The Department of Higher Education and Training said it will take all necessary steps to ensure the continued effective functioning of NSFAS and, “above all, that there is no disruption to student funding and other critical NSFAS functions”.
The department reassured that the “minister respects the authority of the court” and will communicate further once the judgment and the available legal options have been fully considered.
In a statement, the reinstated NSFAS board said it welcomed the court ruling and would resume its duties “with immediate effect and will focus on stabilising the institution, strengthening governance and fulfilling its statutory mandate to provide financial assistance to eligible students across South Africa”.
While stating its commitment to working constructively with the Minister of Higher Education, the NSFAS board said it considers it inappropriate to comment further at this stage because the matter remains before the court and Part B proceedings were still pending.
Part B concerns the review and setting aside of the appointment of the administrator.
Meanwhile, Organisation Undoing Tax Abuse (OUTA) said it welcomes the reinstatement of the NSFAS board.
When Minister Manamela disbanded the board, he claimed the move was compelled by strict legal compliance, not political convenience.
However, OUTA CEO Wayne Duvenage said the board’s challenge to Manamela’s decision to dissolve it was commendable, as the decision amounts to political interference.
OUTA Investigations Manager Rudie Heyneke said NSFAS needs stability, warning that instability could disrupt progress made after years of controversy and poor leadership.
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