Australia limits foreign student intake to 270,000 amid migration concerns
What's the story
Australia has announced a cap on its intake of new international students for the year 2025, setting the limit at 270,000.
This decision is part of a broader government strategy to manage record migration levels that have been linked to increasing home rental costs.
The move follows several measures aimed at reversing concessions made for foreign students and workers during the COVID-19 pandemic.
Student surge
Impact of COVID-19 concessions on international student numbers
During the pandemic, Australia introduced several concessions to support local businesses amid strict border closures.
These measures resulted in a significant increase in the number of international students in the country.
"There's about 10% more international students in our universities today than before the pandemic, and about 50% more in our private vocational and training providers," Education Minister Jason Clare stated at a press conference.
Enrollment restrictions
New enrollment cap details for Australian universities
Under the new cap, Australian universities will be permitted to enroll 145,000 new international students. This figure aligns with the enrollment numbers from 2023.
Additionally, practical and skills-based courses will have their intake limited to 95,000 students.
"The government will notify universities of their specific enrollment limits," Clare added.
Sector impact
Universities Australia expresses concern over new cap
Universities Australia, the representative body for the nation's universities, has voiced concerns about the potential impact of this cap on their sector.
"We acknowledge the government's right to control migration numbers, but this should not be done at the expense of any one sector, particularly one as economically important as education," said Universities Australia Chair Professor David Lloyd in a statement.
Economic contribution
International education is a major export for Australia
International education is a major export for Australia, ranking fourth after iron ore, gas, and coal. It contributed $24.7 billion to the economy in the 2022-2023 fiscal year.
However, public sentiment has increasingly associated the influx of foreign students and workers with pressure on the housing market.
This perception could make immigration a contentious issue in the forthcoming national election, which is less than a year away.
Migration surge
Record migration in Australia and government's response
Australia witnessed a record high in net immigration in the year ending September 30, 2023, with a 60% increase to 548,800.
This surge was primarily driven by students from India, China, and the Philippines.
In response to this migration surge, the Australian government recently increased visa fees for foreign students and pledged to eliminate loopholes that allowed students to extend their stays indefinitely.