Zuma Bows to South African Student Fee Demands Amid Protests

Updated on
  • President Zuma says task team to address student grievances
  • Police clash with students during protest in Pretoria

South Africa’s government bowed to student demands to cap university fees next year, after thousands of demonstrators gathered outside President Jacob Zuma’s offices at the Union Buildings in Pretoria, the capital, and clashed with police.

Zuma made the announcement in a nationally televised address following 10 days of demonstrations that led to violent clashes with the police and more than 100 arrests in the biggest student protests since the end of apartheid in 1994.

Student demonstration in front of the Union Buildings
Student demonstration in front of the Union Buildings
Photographer: Stefaan Heunis/AFP/Getty Images

“We agreed that there will be a zero increase of university fees in 2016,” Zuma said after meeting with student leaders and university management. The “government understands the difficulty faced by students from poor households and urges all affected to allow the process to unfold to find long-term solutions in order to ensure access to education by our students.”

The running battles continued following Zuma’s speech, after he failed to address the crowd as planned. Protesters hurled rocks and police fired rubber bullets, teargas and stun grenades.

The protests reflect a wider frustration over the government’s inability to cut widespread poverty and inequality two decades after the end of white-minority rule. The government’s climb-down puts pressure on the Treasury to find more money to subsidize universities as debt continues to climb amid weak economic growth and the threat of a credit rating downgrade.

Budget Pressure

“It is placing additional pressure on the fiscus at a time we really can’t afford it,” said Elna Moolman, an economist at Macquarie Group Ltd. in Johannesburg. “I would see this as a temporary stop-gap measure. This is just to calm the situation.”

The rand weakened 1.2 percent to 13.5665 per dollar as of 4:30 p.m. in Johannesburg on Friday, extending losses this week to 3.5 percent.

The government allocated 27.5 billion rand ($2 billion) for tertiary education in the year through March 2016, which equates to 2 percent of total government spending, Finance Minister Nhlanhla Nene’s mid-term budget shows. University student fees amount to 22 billion rand a year and tuition freeze would rquire and additional 2.6 billion rand in funding, according to Higher Education Minister Blade Nzimande.

“Whilst the government decision may be positive for calming the protests, there is no clarity on the funding model for this and it does not address the fundamental issue of the fact the budget is set to reduce university contributions further in the coming years,” said Peter Attard Montalto, an economist at Nomura International Plc. “This problem is not going away. Universities cannot sustainably make up the difference, nor can the budget.”

Water Cannons

Prior to Zuma’s announcement, clouds of teargas spread over the demonstrators, while one group of demonstrators chanted “no violence, no violence.” Protesters set fire to plastic portable toilets and pushed them toward police officers, who responded with water cannons to douse the flames and disperse the crowd. Some of the students had boarded dozens of buses to travel the 54 kilometers (34 miles) from Johannesburg to the capital.

“We are here to fight for the people who don’t have money,” said Lindo Buthelezi, 21, a student at the Tshwane University of Technology. “The government should help us get free education. We need education. That’s why we are fighting.”

Chaos at Parliament

Two days ago, thousands of demonstrators broke into the grounds of parliament in Cape Town as Nene presented a budget speech.

First-year tuition at the University of the Witwatersrand in Johannesburg, where the protests started against a planned 10.5 percent fee increase, range from about 32,000 rand to more than 58,000 rand.

The students “have put the issue of access to higher education for all firmly on the agenda in a way that no one else has been able to do in the last 20 years,” Adam Habib, the university’s vice chancellor, said in a statement on its website. “We fully support their call for more funding. The single biggest challenge in our society is inequality. It can only truly be addressed if those in need have access to an affordable world-class education.”

Before it's here, it's on the Bloomberg Terminal. LEARN MORE