The Australian government announced on Tuesday that it intends to limit the number of foreign students entering the country next year.
This move will restrict a lucrative industry as the government grapples with immigration issues. The Education Minister, Jason Clare, revealed that new international student enrollments for university, higher education, and vocational training will be capped at 270,000 in 2025.
“This will result in fluctuations in student numbers for different universities between this year and next year,” Clare stated at a press conference.
Official figures indicate that 2023 foreign students contributed over Aus$42 billion (US$28 billion) to Australian universities and vocational education institutions. During the fiscal year ending June 30, 2023, Australian authorities issued more than 577,000 international student visas.
The new limit is replacing a recent policy of prioritising students considered low risk for visa non-compliance. This old system has benefited top-ranked universities while causing significant delays in visa processing for other institutions.
According to official statistics, international students were Australia’s second-largest industry after mining and contributed to over half of the country’s economic growth last year.
In a statement earlier this month, Prime Minister Anthony Albanese emphasised the industry’s crucial importance for Australia. However, he noted that universities should avoid excessive dependence on international students, citing concerns about migration implications.