Indian Students Face Uncertainty as Australia Reduces Foreign Student Quotas

Australia has announced a significant reduction in its international student intake, capping the number at 270,000 for 2025 in response to soaring migration levels that have driven up housing rental prices. This new limit applies to both higher education and vocational training courses, as confirmed by Australia’s Education Minister Jason Clare.

This decision is expected to significantly impact Indian students, particularly those from Punjab, who constitute a large portion of Australia’s international student population. Sunil Jaggi, a member of the Migration Agents Registration Authority of Australia, noted, “In June 2022, Australia capped its foreign student intake at 510,000. This was reduced to 375,000 in 2023. Now, they’ve further reduced the planning levels. These limits apply to all international students, with universities tasked with distributing quotas across countries and states.”

Students who were planning to enroll in the February intake are likely to be most affected by this new policy, with Punjab students facing the brunt of the impact. One student from Haryana, who aims to study nursing in Australia, expressed concern: “This decision jeopardizes my career. My family is already taking loans to cover the high cost of studying in Australia.” Another student called for the Indian government to advocate on behalf of students with the Australian government.

This move comes despite a recent agreement between the Australian Education Minister and Indian authorities to expand access to Australian higher education institutions in India. According to the Ministry of External Affairs, approximately 122,000 Indian students are currently studying in Australia, making it the fourth most popular destination for Indian students after Canada, the US, and the UK.

In addition to limiting student intake, Australia has also increased its non-refundable visa fee for foreign students from AUD 710 to AUD 1,600, further discouraging migration. Meanwhile, Canada has introduced new restrictions on its temporary foreign workers’ program, reducing the percentage of low-wage foreign workers that businesses can employ from 20% to 10%, in response to a rising unemployment rate that has reached 6.4%, with youth unemployment climbing to 14.2%.