Australia announced on Wednesday its decision to raise the minimum savings required for international students to obtain a visa, as part of measures aimed at managing the surge in migration numbers. Effective immediately, students must demonstrate savings of at least A$29,710 ($19,576) to secure their visas, marking the second increase in seven months after a previous raise to A$24,505 in October.
This move comes amidst efforts to tighten student visa regulations following a rapid influx of migrants due to eased COVID-19 restrictions in 2022, which exacerbated pressures on the rental market. In addition to the financial requirement, English language proficiency criteria for student visas were heightened in March, and steps have been taken to curb practices that allow students to extend their stays.
Home Affairs Minister Clare O’Neil issued warnings to 34 education providers for engaging in “non-genuine or exploitative recruitment practices.” Those found guilty could face up to two years in jail and be prohibited from recruiting students. O’Neil emphasized the government’s commitment to removing unscrupulous actors from the international education sector to uphold its reputation and integrity.
Australia’s international education sector is a significant export industry worth A$36.4 billion ($24 billion) in 2022/23. However, the surge in migration, largely driven by international students, has led to challenges such as soaring rental prices. The government’s policies are expected to halve Australia’s migrant intake over the next two years, reflecting a significant shift in migration numbers outside of exceptional circumstances like war or pandemic.