Is the ANC-led government blind to the financial plight of Rhodes University? 

14 July 2016

It has emerged that Rhodes University “now has less than two months of funds to cover its financial commitments such as salaries, electricity, water and food for the dining halls” according to a circular sent to enrolled students last week. 

Rhodes claimed it had “never before been in such a difficult financial position at this time of the year”. 

This was revealed in an email sent to students late last week in which the University begs students to pay their fees. The university made a decision in June to withhold the results of students who had not paid at least 50% of their fees. 

It is clear that the financial difficulties in the higher education sector have affected even formerly wealthy universities. Both WITS and UCT have already announced austerity measures, including the cutting of staff. And unsurprisingly, historically disadvantaged universities are even worse off. 

The government appears to be blind to the fact that South Africa’s universities are in serious financial trouble across the board. This comes after years of falling real subsidies from government which have forced universities to rely on increasing student fees. The moratorium on fee increases has put universities under even greater pressure, and the financial support for student debt in this year’s budget has failed to remedy the situation. 

Government prefers to waste its money on such things as Presidential jets and lavish VIP protection rather on places of learning – where the future of our country is determined. 

The DA is committed to prioritising quality fee-free higher education for the poor. In this respect, the DA last week made a series of proposals to government in its submission to the Presidential Commission of Inquiry into fee-free higher education. Among these proposals were to:

- Increase state subsidies of Universities to appropriate levels;

- Expand NSFAS to cover the missing middle;

- Stabilise student numbers until funding has stabilised; and

- Continue to collect fees from those who can afford them.

We will fight for the rights of students to receive quality education in viable, sustainable Universities, and to end the financial neglect of Universities and students.

Issued by Belinda Bozzoli, DA Shadow Minister of Higher Education and Training, 14 July 2016