Australia announced plans to limit the number of foreign students allowed into the country from 2025.
This decision comes as the government faces increasing pressure to address immigration issues.
Education Minister Jason Clare revealed the plan on Tuesday, stating that new international student numbers for universities, higher education, and vocational training would be capped at 270,000 for 2025.
“It will mean that some universities will have more students this year than next year. Others will have less,” Clare said during a news conference. The plan will need to be approved by legislation.
In 2023, foreign students contributed more than Aus$42 billion (US$28 billion) to Australian universities and vocational education centers.
The government granted over 577,000 international student visas in the fiscal year ending June 30, 2023. Clare noted that the new cap would bring the number of international students starting courses next year back to pre-COVID-19 levels.
The breakdown for 2025 will allocate 145,000 new foreign students to universities, 30,000 to other higher education providers, and 95,000 to vocational education and training. The new limit will replace the current policy that prioritized students at low risk of visa non-compliance, which had benefited top-ranked universities but slowed visas for other institutions.
Universities Australia chair David Lloyd acknowledged the government’s right to manage immigration but expressed concern over the impact on the education 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,” Lloyd said.
Lloyd highlighted the economic significance of international students, describing them as Australia’s second-largest industry after mining.
He added, “Every dollar from overseas students is reinvested back into Australia’s universities. Having fewer students here will only widen the funding gap at a time universities need greater support.”
Prime Minister Anthony Albanese emphasized the importance of the international education sector, calling it “absolutely vital” for Australia.
However, he cautioned that universities should not rely too heavily on overseas students due to migration implications.
A recent poll conducted by Essential for The Guardian showed that 69 percent of Australian respondents blamed immigration for high house prices.
The same poll revealed that opinions on immigration were divided, with 42 percent of people describing it as “generally positive” and another 42 percent as “generally negative.”
In addition to capping student numbers, Australia’s government aims to protect the international education industry from exploitation.
Clare mentioned that over 150 “ghost colleges” had recently been shut down. He described these institutions as “a back door” for people to work in Australia rather than receive an education.
