August 5, 2025 | 10:23 am
TEMPO.CO, Jakarta - The Australian government announced on Monday, August 4, 2025, that it will raise the foreign student intake by 9 percent, setting a new cap of 295,000 for 2026.
This adjustment is part of a broader migration strategy designed to manage the education sector’s expansion while addressing ongoing challenges in housing and infrastructure.
As reported by The Economic Times, the revised quota marks an increase from the 270,000 student limit set for 2025. The new policy also highlights the government's efforts to curb what has been described as an unregulated rise in international student numbers in recent years.
"The government has taken tough decisions over the last 12 months, not always loved by the sector, to get the numbers down and get them to a more sustainable footing," said Deputy Minister of International Education Julian Hill to ABC, as quoted by Asia One.
Southeast Asia in Focus
The updated migration policy places greater emphasis on applicants from Southeast Asia.
Hill emphasized that this shift plays a key role in enhancing Australia’s regional influence.
"It’s important for Australia’s future soft power that we continue to bring the best and brightest from our neighbours to have a bit of Australia with them for the rest of their life," he said.
Education Minister Jason Clare added that the policy aims to strike a balance between various stakeholders.
"This is about making sure international education grows in a way that supports students, universities and the national interest," said Clare.
Tighter Oversight and New Criteria
The government has also introduced stricter requirements for educational institutions.
Under the new allocation, about two-thirds of the total quota will go to universities, while the remaining third will be designated for the vocational education sector.
Public universities seeking larger quota allocations must demonstrate that both domestic and international students have access to adequate and secure housing.
Following the pandemic, Australia saw a surge in interest from international students. In 2023 alone, nearly 600,000 student visas were issued, with China and India remaining the top source countries.
The revised policy has received support from Universities Australia, the peak body for the higher education sector.
"Universities have called for growth in this critically important sector, and the government has honoured this," said CEO Luke Sheehy.
According to official figures, international education contributed more than AU$51 billion to the Australian economy in 2024, solidifying its status as the country's largest services export sector.
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