The Private Student Housing Association (PSHA) has raised fresh concerns about instability at the National Student Financial Aid Scheme (NSFAS) following the resignation of interim board chairperson Mugwena Maluleke.
Maluleke stepped down with effect from April 27, placing renewed focus on governance challenges within the student funding body.
Unresolved issues
PSHA chief executive officer Kagisho Mamabolo said while Maluleke served during a difficult period, deeper issues remain unresolved. He identified delays in confirming the 2026 private student accommodation rates as a key concern.
“We acknowledge his contribution under challenging conditions, but the board as a whole has not achieved the level of stability and reform required. Providers are still waiting for the updated rates and are expected to continue operating on 2025 figures,” he said on Wednesday.
Mamabolo called for urgent intervention, saying, “the 2026 accommodation rates must be finalised without delay, governance must be stabilised, and confidence in the system must be restored.”
Pressure on landlords
Mamabolo warned that increasing operational costs are placing pressure on landlords. He cautioned that prolonged uncertainty could have knock-on effects for students.
“Rising municipal charges, utilities, financing, security and maintenance costs are not being matched by policy certainty, and that is not sustainable. If this situation continues, it risks undermining the long-term sustainability of quality accommodation and could reduce availability for students who depend on these facilities,” Mamabolo said.
He also stressed that instability within Nsfas leadership should not be passed on to the private sector.
“Accommodation providers cannot be expected to carry the burden of delayed decisions and governance uncertainty. It is the responsibility of Nsfas and its board to ensure a predictable and functional system,” he said.
Nehawu weighs in
Meanwhile, the National Education Health and Allied Workers Union (Nehawu) said the resignations highlight deeper structural weaknesses within the scheme.
“Nsfas is repeatedly caught in cycles of crisis, which has weakened both the institution and the broader post-school education and training sector,” the union said in a statement.
Nehawu warned that the instability is exacerbating existing challenges faced by students.
“This environment has contributed to exclusion, insufficient funding, accommodation shortages, as well as ongoing issues of maladministration and corruption,” it said.
The union added that the exit of board members signals the seriousness of the situation.
“When individuals with strong reputations step down, it reflects the scale of the systemic and governance problems facing the scheme,” Nehawu said.
- Interim NSFAS board chairperson Mugwena Maluleke resigned, highlighting ongoing governance instability at the student funding body.
- PSHA CEO Kagisho Mamabolo emphasized unresolved issues, particularly delays in confirming 2026 private student accommodation rates, causing uncertainty for providers.
- Rising operational costs and delayed rate updates threaten the sustainability of private student housing and could limit accommodation availability for students.
- Mamabolo urged NSFAS to stabilize governance, finalize accommodation rates promptly, and prevent the private sector from bearing the consequences of instability.
- Nehawu union highlighted the resignations as evidence of systemic weaknesses within NSFAS, worsening funding, accommodation shortages, maladministration, and corruption challenges for students.
Maluleke stepped down with effect from April 27, placing renewed focus on governance challenges within the student funding body.
PSHA chief executive officer
“We acknowledge his contribution under challenging conditions, but the board as a whole has not achieved the level of stability and reform required. Providers are still waiting for the updated rates and are expected to continue operating on 2025 figures,” he said on Wednesday.
Mamabolo called for urgent intervention, saying, “the 2026 accommodation rates must be finalised without delay, governance must be stabilised, and confidence in the system must be restored.”
Mamabolo warned that increasing operational costs are placing pressure on landlords. He cautioned that prolonged uncertainty could have knock-on effects for students.
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He also stressed that instability within Nsfas leadership should not be passed on to the private sector.
“Accommodation providers cannot be expected to carry the burden of delayed decisions and governance uncertainty. It is the responsibility of Nsfas and its board to ensure a predictable and functional system,” he said.
Meanwhile, the National Education
“Nsfas is repeatedly caught in cycles of crisis, which has weakened both the institution and the broader post-school education and training sector,” the union said in a statement.
Nehawu warned that the instability is exacerbating existing challenges faced by students.
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“When individuals with strong reputations step down, it reflects the scale of the systemic and governance problems facing the scheme,” Nehawu said.
