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The Australian Indigenous Education Foundation is a private sector led non-profit organisation established in 2008. Its mission is to empower Indigenous children through providing scholarship funding and career support for Indigenous students. The Foundation supports Indigenous students through their completion of Year 12 or tertiary studies and also assists in a smooth transition into their chosen career paths. This is achieved through its two core programs, the AIEF Scholarship Program and the AIEF Pathways Programs. In 2018, the AIEF Scholarship Program achieved a 92% retention and Year 12 competition rate, with 77 students completing Year 12 on AIEF Scholarships. The AIEF also recorded its record number of 20 tertiary students graduating from university on an AIEF Scholarship. The AIEF Pathways Program saw regular career sessions for Year 11 and 12 students take place and 207 mentor-student pairs developed.

The model of the Foundation includes sustainability, transparency and efficiency. This is encapsulated through its long-term and low cost Indigenous education program, where annual reports are also published on its website to ensure transparency and accountability. As of 31 March 2019, total scholarship funds reached $163, 804, 505, with $83 million received from the Australian Government. The AIEF’s low cost base can be seen through its 1.7% of cumulative scholarship funding spent on cumulative operating costs since its establishment.

Formation
The Australian Indigenous Education Foundation was set up in 2007 by Andrew Penfold to expand the St Joseph's College Indigenous Fund (SJCIF) and its nationwide delivery of Indigenous education scholarships to thousands of Indigenous children. SJCIF is a charitable scheme established to provide financial assistance to Indigenous students to attend St Joseph's College Hunters Hill - or also known as "Joeys".

Andrew Penfold's inspiration for both the SJCIF and the AIEF largely stemmed from his childhood experiences. At age 6, Penfold had lost his father which meant his mother was left as a single mother providing for Penfold and his sister. He was described as a "disengaged" and "disruptive" student and it wasn't long before his mother and grandmother called on St Joseph's College, Hunters Hill to take him in as a boarder. As hoped, the boarding school provided Penfold with structure, boundaries and good role models and he soon became more responsible, self-aware and disciplined. Penfold went on to study law at the University Technology Sydney, and lead a successful career as a lawyer and investment banker.

Penfold was grateful for the quality of education he received at St Joseph's College and was appreciative of the many doors it opened for him later in life. However, he was also aware of other Indigenous children and how they may not have been as fortunate to receive a good education. Thus, in 2004, Penfold decided to devote all of his time to voluntarily raising and running funds in the SJCIF to help transform the lives of Indigenous children through education. Within two years, Penfold had helped raise $4 million for the St Joseph's College Indigenous Fund. It comes with no surprise that Andrew Penfold was nominated for the 2010 NSW Australian of the Year. In 2019, $66,493 funds were raised for the SJC Indigenous Scholarship Fund by 51 donors and 39 of the boys were on the scholarship.

The success of the SJCIF led Penfold to expand the scheme nationally. In 2007, Penfold and his wife, Michelle, worked hard from a makeshift office in their dining room and established the Australian Indigenous Education Fund. The scheme began with four Sydney girl private schools - Kincoppal School in Rose Bay, St Catherine's Anglican School for Girls in Waverley, St Scholarstica's College in Glebe and St Vincent's College in Potts Point. The first AIEF scholarship was awarded in 2008 and in that same year, then Prime Minister, Kevin Rudd, agreed to invest $20 million in AIEF over the course of three years provided that this was matched by the private sector in 2028. Government funding has increased to $83 million as of 31 March 2019, with the AIEF doing its best to match this amount.

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The Australian Indigenous Education Foundations partners with leading schools and universities that are committed to providing Indigenous students with an effective educational program, and also dedicated to maintaining relationships with Indigenous families and communities to ensure students complete their commitment. At St Joseph's College in Hunters Hill - where it all began for the AIEF, about 40 students a year are supported.

AIEF Scholarship Program
The Australian Indigenous Education Foundation brings together the Australian Government and the private sector to provide scholarship funding and reduce the cost for Indigenous students to go to boarding schools and achieve Year 12 attainment. Indigenous students may also apply for tertiary scholarships where financial barriers are also removed in order for students to gain access to university and complete the degree of their choice.

AIEF Pathways Program
The AIEF Pathways Program complements the Scholarship Program through running regular career sessions and setting up students with mentors to ensure a smooth transition from school to tertiary education or employment. This program includes personal and professional skill development, connecting students with support networks, and providing ongoing support after Year 12 completion.

AIEF Tertiary Internship Scholarship
The new AIEF Tertiary Internship Scholarship Program was established to complement the existing school and tertiary education scholarship program. It aims to allow students to apply classroom skills to real life opportunities.