Australia has recently implemented significant increases in the financial requirements for international student visas, aimed at managing record migration levels and addressing concerns over student exploitation. Effective as of last Friday, the new rule mandates that international students must demonstrate savings of AUD 29,710 ($19,576) to qualify for a visa. This marks the second increase in seven months, following a previous hike from AUD 21,041 to AUD 24,505 in October.
These changes come amidst broader efforts to tighten student visa regulations, prompted by a surge in international student numbers following the lifting of COVID-19 restrictions. This surge has placed a significant strain on Australia’s rental market. Recently, in March, the government also raised the English Language Requirement for student visas to align with their objective of controlling migration levels and allowing only genuine students to study in the country.
Furthermore, as part of its migration control objectives, the government has issued warning letters to 34 education providers regarding “non-genuine or exploitative recruitment practices.” Home Affairs Minister Clare O’Neil has indicated that these institutions could face heavy penalties if found guilty.
While international education has significantly contributed to Australia’s economy, valued at AUD 36.4 billion in the academic year 2022–23, the rapid increase in migration driven by international students has led to a notable rise in rental costs across the country. Seeking to alleviate this pressure, the government aims to reduce migration levels. Figures show a 60% increase to a record 548,000 in the year ending September 30, 2023. These policy changes reflect the government’s broader strategy to manage migration, maintain a sustainable rental market, and ensure the integrity of the international education sector.
