The Eastern Cape Provincial Government has launched a R70-million historical debt relief programme to address youth unemployment and financial barriers to economic participation.
The groundbreaking initiative, launched this week by the provincial government in collaboration with the Manufacturing, Engineering and Related Services Sector Education and Training Authority (MerSETA), aims to clear historical student debt.
It targets young people aged 18 – 35 years old, who have completed their undergraduate qualifications in MerSETA-related fields.
Broader commitment to youth empowerment
Provincial government spokesperson, Khuselwa Rantjie, confirmed the project. He said the initiative is part of government’s broader commitment to youth empowerment and skills development.
This particularly for unemployed youth in the province.
“The Eastern Cape Provincial Government made significant strides in supporting education between 2019 and 2024. It cleared a historic debt of more than R100-million from its own resources. And in addition supported close to 5, 000 graduates across the four universities in the province.
“This builds on significant progress made over recent years. During this period, 13 SETAs trained more than 29, 000 young people in high-demand skills areas. These include automotive assembly, renewable energy, digital forensics, and cloud computing,” Rantjie said.
Over 8, 000 young people benefitted
In addition, over 8, 000 young people, including people with disabilities, were trained in various areas.
These include animal and vegetable production, cellphone repairs, beautification, and early childhood development. This was made through collaboration with various partners.
Rantjie highlighted that that provincial government has also launched the MerSETA Mega Skills Project. This benefited over 10, 000 additional youth by providing them with critical skills.
The R70-million debt relief programme is open to graduates from Nelson Mandela University, Rhodes University, the University of Fort Hare, as well as eight Technical Vocational Education and Training (TVET) colleges in the province.
The eight TVET colleges are Ingwe, Ikhala, Buffalo City College, East Cape Midlands College, King Hintsa, King Sabata Dalindyebo, PE College, and Lovedale.
MerSETA has allocated funding to deal with the historical debt within Walter Sisulu University. This is managed directly by the university.
Who qualifies for funding?
Graduates, who have completed undergraduate qualifications in the following fields, are eligible for the funding:
• Operations Management
• Financial Accounting
• Electrical Engineering
• Mechanical Engineering
• Computer Sciences
• Electronic Engineering
• Industrial Engineering
• Mechatronics
• Process Engineering
• Metallurgy
• Human Resources
• Supply Chain Management
• Information Technology
• Marketing Applicants must be South African citizens from the Eastern Cape.
They must be aged between 18-35. And they must have completed a qualification in one of the listed MerSETA related fields.
They must also have outstanding student debt at any of the participating institutions.
Strategic partnerships
“Eligible graduates are encouraged to contact their respective institutions directly. They are urged to submit their formal request for the funding. In 2023, historical debt at the University of Fort Hare alone amounted to R151-million.
This affected approximately 2, 383 students. And it prompted the provincial government to seek strategic partnerships to support these young people.
“The historical debt initiative demonstrates the Eastern Cape Provincial Government’s commitment to equipping young people with the tools they need to succeed in the modern economy.
“By addressing student debt and providing high-demand skills training, the province is creating pathways to meaningful employment and long-term economic growth,” Rantjie said.
SAnews.gov.za
