Student allowances meant for rent, food and textbooks are increasingly being used for gambling, a growing concern that has forced the National Gambling Board (NGB) and the National Student Financial Aid Scheme (NSFAS) into action.
The two institutions have announced a joint intervention aimed at curbing gambling among tertiary students, particularly on illegal online platforms that are aggressively targeting young people through digital advertising and promotional incentives.
NSFAS said the partnership was triggered by mounting evidence that financial pressure, easy online access and targeted marketing are driving student participation in gambling, with serious consequences for academic performance and financial stability.
“This collaboration arises from growing concerns about the increasing exposure of young people to gambling, particularly illegal online platforms, and the unintended use of student allowances for gambling activities. Research indicates that financial pressure, aggressive digital advertising, ease of online access, and targeted promotional offers have contributed to increased gambling participation among youth, potentially affecting academic performance, financial stability, and overall well-being.”
At the heart of the initiative is a drive to prevent public education funds from being misused. NSFAS Acting CEO Waseem Carrim warned that diverting allowances to gambling undermines students’ futures.
“NSFAS funding is intended to support students’ educational journey and essential living needs. When these funds are diverted to gambling, it can undermine academic success and long-term financial well-being. This partnership focuses on prevention, awareness, and empowering students to make informed choices that support their future”.
The NGB said it will prioritise harm reduction strategies, with particular attention to the normalisation of gambling through social media and mobile applications.
“This partnership prioritises the protection of young people through harm reduction approaches that prevent the development of harmful gambling behaviours. Particular attention will be given to the growing normalisation of gambling through digital advertising platforms, social media, and mobile applications, which increasingly affects students.”
The partnership between the two will equip students with the knowledge and tools to make responsible financial choices. It will promote awareness about the risks of gambling, discourage the misuse of NSFAS-funded allowances, including illegal online gambling, and strengthen preventative education through nationwide outreach, campus workshops, financial literacy campaigns, and early intervention initiatives.
By sharing information and coordinating efforts, the two organisations aim to safeguard public funds while protecting students’ academic success and long-term well-being.
The intervention by the NGB and NSFAS comes as political pressure mounts over what has been described as a worsening gambling crisis in South Africa.
Rise Mzansi has sharply criticised the Department of Trade, Industry and Competition (DTIC), the primary custodian of gambling legislation, accusing it of failing to act decisively in the face of what the party calls a R1-trillion gambling crisis affecting households across the country.
Rise Mzansi National Assembly Whip Makashule Gana said the party formally presented its “Gambling Reforms Now” proposals to the DTIC on November 14, 2025, outlining seven key reforms targeting online gambling and advertising regulations.
According to Gana, the party requested a response within seven days but received what he described as an inadequate reply 87 days later.
“The late and lazy response from the DTIC shifts responsibility and is short on the deep reforms needed to protect South Africans from this pandemic. People are suffering while the operators swim in a sea of money made from lost dreams and lives.”
Gana said while the DTIC had been slow to respond, the National Treasury had shown greater willingness to engage in reforms. Rise Mzansi is currently preparing a comprehensive submission to the Treasury advocating for a national online gambling tax.
He reiterated that the party views gambling as an emerging public health crisis and vowed to continue pushing for stricter regulation to protect vulnerable South Africans.
The Star
masabata.mkwananzi@inl.co.za