Presentation to Portfolio committee

Date: 25 January 2011

Headcount growth

NOTE: Projections and expectations are on institutional perspectives

Actual growth (national) 2000 - 2008 = 4.6%

Participation rate

NOTE: GER definition according to UNESCO

Required number in higher education for 2013 is 1,036,373 if 20% is the target

Possible is 914,314 at a 2.7% growth rateExpansion and strategic position of the FET college sector provides for additional opportunities.Current enrolments in college sector = 300,000, planned growth to 1,000,000 is revisited.

Undergraduate size and shape

NOTE: 2010 targets for undergraduate diploma was 277,000 and undergraduate degrees 400,000.

Targeted growth (2005-2010) was 2.0% for diplomas/certificates and only 1.2% for degrees.Institutions are proposing a higher growth for degree enrolments (3.0%) in relation to diplomas (1.9%),

Postgraduate size and shape

NOTE: The targeted postgraduate shape of 2010 is 17% whereas the projected postgraduate shape for 2013 is 16%.

Priority is to increase output in PG programmes (Hons, Research Masters, Doctorates) to possibly 25,850. Current output = 21,686 (2008). What is needed?

A constant growth of 4.8% per annum for M and D programmes (current and projected) but the graduate output needs to increase.

Major field of study - SET

NOTE: No graduate targets were developed for 2005-2010 period.

For the period to 2013/14 a possible graduate target of 38,000 in Engineering, Life and Physical Sciences and Animal and Human Health is being considered.

Government investment of R1 852m for 2006 -2012 which was 56.7% of the total government funding allocation was made to achieve a targeted growth of 2.7% in HC.

Major field of study – Teacher Education

NOTE: Reflects ALL enrolments in Education

National priority is to increase enrolments in initial teacher education programmes such as PGCE and B Ed

Growth in graduates (2.2%) is projected LOWER than growth in enrolments (2.8%)

Need to have 12,000 graduates in initial teacher education by 2014.Current government investment through the infrastructure and

efficiency funding was 14,5% for the 2006 – 2012 period.

NATIONAL STUDENT FINANCIAL SCHEME: Detail of earmarked allocations/transfers (R’000)Higher Education Institutions

Approved MTEF allocations: 2011/12 to

2013/14

2011/12 2012/13 2013/14

Baseline:Higher Education student funding NSFAS administration

1 892 395

77 384

2 644 614

81 954

2 157 234

86 601

Subtotal: Baseline 1 969 779 2 726 568 3 043 835

NATIONAL STUDENT FINANCIAL SCHEME: Detail of earmarked allocations/transfers (R’000)

Additional funding of R1, 6 billion, R2 billion and R2,1 billion received from National Treasury for NSFAS bursaries and loans for students at HEIs and bursaries for FET Colleges over the MTEF period 2011/12 to 2013/14

Department identified additional category of funding for final year students at public HEIs who qualify for NSFAS funding – R751 million in 2011/12; R733 million in 2012/13 and R736 million in 2013/14.

Final year students will be offered the additional incentive of the award for the final year being converted to a full bursary (100 %) if they complete all the requirements for graduation in the same year.

Administered by NSFAS as a centrally-administered conduit fund and will be ring-fenced. This model will be phased in over the next few years to include students in earlier

years of study.

Additional funding

2011/12 2012/13 2013/14

Higher Education Institutions

751 826 733 288 736 061

Further Education and Training Colleges 848 164 1 280

9001 389

534

Total 1 599 990 2 014 188

2 125 595

Implementation of NSFAS Ministerial Committee

Final Year programme: realisation of Polokwane resolution (academic success results in 100% loan to bursary conversion for final year loan)

Extension of loans to N1 and N2 as well as 100% bursaries for FET students who qualify for NSFAS

Minister requested review of the NSFAS Loan Book

Alignment to National Credit Act Restructuring processing of loan applications Legislative changes

Restructuring of NSFAS Board to ensure relevant and appropriate expertise;

Turnaround task team to oversee rapid implementation of organisational strengthening;

Review of all existing debt management policies and practices;

Close monitoring of unspent funds to ensure that all funds allocated are utilised;

Review of the institutional allocation model to ensure that funds follow need;

Addressing historical debt issues