Vote speech
29 May 2007
"This budget allocates new funds to higher education; more than R2 billion
over the 2007 Medium Term Expenditure Framework (MTEF) that will support
infrastructure improvement on many campuses, improve academic salaries, and
focus attention on academic support," said Naledi Pandor, the Minister,
speaking during the Education Budget Vote today.
Together with the R88,7 billion allocated in provincial education budgets
this year, the R16 billion in the national budget provides the resources for a
significant improvement of skills throughout our education system.
Of the R16 billion in the national budget, higher education receives R13,3
billion. This R13,3 billion is an increase of R1,5 billion (13%) over 2006.
In addition to R2 billion in new funds over the current MTEF, old funds have
also been made available as earmarked funds for specific infrastructure and
efficiency initiatives.
"Earmarked funds must be used in focused and accountable ways, so that they
can contribute to improved student outcomes, especially in the light of
national human-resource development priorities," the Minister said.
Student enrolment planning at each institution has been completed and
student numbers are planned to grow from 738 000 students in 2005 to 820 000 by
2010. Growth in all disciplines has been accepted as part of the plan. However,
the greatest expansion will be in the fields of science and technology and
engineering.
She also announced a three-year pilot project to widen access to further and
higher education. The Fundisa Fund will encourage poor parents to save for the
education of their children. A matching state grant will be provided to parents
who can afford to save a small amount each month for their children's higher or
further education.
The Minister said: "We will not see the impact of Fundisa for many years,
but when children begin to redeem their Fundisa funds, we will be able to see
how farsighted we have been. In future, I hope that qualifying families will be
able to draw on a combination of their Fundisa savings and National Student
Financial Aid Scheme (NSFAS) funding to support their children's higher
education. It is a future that will bring new hope to many of our people."
The 2007 budget provides R700 million for teacher bursaries over the next
three years, the first R120 million of which for 3 000 student teachers this
year has been fully committed in the Fundza Lushaka bursary programme.
The introduction of R600 million for bursaries (R100 million this year) in
the Further Education and Training (FET) college sector will support the access
of thousands of young people to newly recapitalised modern skills
programmes.
A mass literacy campaign is in preparation for kick-off in 2008.
The 2007 budget provides R850 million for a step up in adult basic education
and training programmes (R20 million of which is available this year).
Editor's notes:
Higher education receives R13,3 billion in the 2007 budget. The overall sum
of R13,3 billion is composed of three main items: block grants, student loans,
and mergers. The largest item is R11,3 billion for block grants. This R11,3
billion is an increase of R1,08 billion (10,6%) over 2006. The second largest
item is R1,3 billion for student loans. This R1,3 billion is an increase of
R404,7 million (44,5%) over 2006. Of this R404,7 million increase, R120 million
will be used for teacher bursaries, and R100 million for FET college bursaries.
The last item is R600 million for university mergers. By the end of next year
R3,1 billion will have been devoted to mergers since commencing with the
restructuring process in 2001.
Issued by: Department of Education
29 May 2007
