South African institutions still confront gendered inequalities, irrespective of transformative national policies, compounded by the absence of a national gender equality policy for higher education. We therefore explore the potential of the capabilities approach (CA) to inform policy formation and argue for the development of a policy for higher education institutions based on opportunities for valuable functionings as the informational basis for gender equality. Using one university as our case study, data from 38 interviews with female and male students were analysed as part of a longitudinal study on Gender, Empowerment, Agency and Higher Education. The data reveal which opportunities these women and men find important for their personal development and directly and indirectly for gender equality. We conclude by discussing the implications of the data for stimulating public dialogues towards formulating a capabilities-based gender equality policy, as well as reflecting on the broader contributions the CA brings to policy development.