'Fees Commission Report fell far short of what students wanted'

The much anticipated Fess Commission Report recommends that students studying at tertiary education institutions be funded through a 'cost-sharing model of government guaranteed income-contingent loans' from commercial banks, regardless of their family background.

Economist Xhanti Payi believes the reason banks were preferred institutions chosen by the Fees Commission to offer loans to students is that they are easily accessible and would be more efficient in distributing funds than any other institution.

He says anybody can access the bank to apply for a loan, but because they are government guaranteed, it will no longer exclude people who are poor.

That guarantee from the bank is a much stronger guarantee than anything else because banks tend to trust government.

Xhanti Payi, Economist at Nascence Advisory and Research

Although Payi thinks the recommendations made by the Fees Commission could be feasible, they are far from what the students wanted or were expecting from the commission, which is free education.

Read: Banks can't lend money without expecting it back: Fees Report

I think the question the commission strongly dealt with, was to make sure that everybody has access to education. I don't think they have come close to what the students wanted which is free education.

Xhanti Payi, Economist at Nascence Advisory and Research

To hear the rest of the interview, listen below:


This article first appeared on CapeTalk : 'Fees Commission Report fell far short of what students wanted'


Recommended

by NEWSROOM AI
Read More
Income-contingent loan model opens the way to deal with missing middle - Bawa

Income-contingent loan model opens the way to deal with missing middle - Bawa

The Commission recommends that NSFAS be replaced at universities by Income-Contingency Loans.

Banks can't lend money without expecting it back: Fees Report

Banks can't lend money without expecting it back: Fees Report

Director of Banking Association of SA says they are prepared to play a role but the fees recommendations need to be sustainable.

Zuma's rumoured free education plan could be ploy for 2019, says Ralph Mathekga

Zuma's rumoured free education plan could be ploy for 2019, says Ralph Mathekga

Political analyst Ralph Mathekga says rumors of free education are in line with Zuma's 'radical economic transformation' rhetoric.

Free education for TVETs and university loans provided says Presidency

Free education for TVETs and university loans provided says Presidency

Spokesperson for the Presidency Bongani Ngqulunga outlines some of the recommendations made in the Fees Commission Report.

Free education should've been implemented a long time ago - Holomisa

Free education should've been implemented a long time ago - Holomisa

UDM Leader, Bantu Holomisa responded to reports that the President is interfering in the operations of National Treasury.

Zuma open to meeting with students after Imbizo collapses

Zuma open to meeting with students after Imbizo collapses

#FeesMustFall student leaders have been accused of grandstanding and being dishonest in their demands for free education.

Fees will increase in 2017 by no more than 8% - Nzimande

Fees will increase in 2017 by no more than 8% - Nzimande

Fee increase, but government to pick up tab for the poor. Unhappy Wits students are threatening a shut down.

Popular articles
DStv Premium on a downward spiral, warns tech guru

DStv Premium on a downward spiral, warns tech guru

DStv has lost about 140 000 Premium subscribers to Netflix over the past two years, tech expert Arthur Goldstuck.

ANC Tshwane gives mayor ultimatum on non-compliant buildings

ANC Tshwane gives mayor ultimatum on non-compliant buildings

ANC in Tshwane has given the Executive mayor Solly Msimanga 48 hours to produce occupation certificates for three buildings.

Athol Trollip: We respect the court's judgment

Athol Trollip: We respect the court's judgment

Trollip says the DA respects that NMB has a new government, saying that he has learned fundamental lessons about coalitions.

Don't blame racism on illness says Eusebius

Don't blame racism on illness says Eusebius

Eusebius McKaiser says it is not unethical for the media to accurately quote the word k***ir if it was used by someone.

Hits from the bong (it’s legal!)… then off to work I go?

Hits from the bong (it’s legal!)… then off to work I go?

The consequences of consuming dagga at home and showing up at the office high. Bruce Whitfield interviews a labour lawyer.

[LISTEN] 'Lesufi has been attacking Afrikaans schools since 2014'

[LISTEN] 'Lesufi has been attacking Afrikaans schools since 2014'

The Freedom Front Plus says the Gauteng Education MEC has flouted school language policies and is destroying Afrikaans.