Australia Introduces Cap on International Students – AEC

New Delhi, September 3, 2024

New cap on international student numbers aims to balance economic benefits with pressures on infrastructure and quality of education.


Australia has announced a new cap on international student enrollment, limiting the number to 270,000 students annually. This new cap will apply to students starting higher education and vocational courses in Australia for the first time in 2025.

The Australian Government has announced a National Planning Level (NPL) of 270,000 for new international student enrollments in 2025. However, some student categories are exempt from this cap, including school students, research degree candidates, those in standalone English language courses (ELICOS), non-award students, government-sponsored scholars, participants in Australian transnational or twinning education arrangements, key partner foreign government scholarship holders, and students from the Asia-Pacific region.

The new enrollment cap represents a crucial turning point in Australia’s international education landscape, a sector that has been a key driver of economic growth. While international education contributes significantly to Australia’s economy, bringing in AUD 36.4 billion ($24.7 billion) in the 2022-2023 financial year, there has been growing public concern about the impact of the large number of foreign students on the housing market.

Australia’s public universities will have a cap of 145,000 new international students, while private universities are limited to 30,000. The vocational education sector will have a cap of 95,000 new international students in 2025.

“The Albanese Government’s proposed National Planning Level for international student enrollments will put the brakes on Australia’s second-largest export industry,” quoted Professor David Lloyd, Vice-Chancellor and President of the University of South Australia, in a statement.

The federal government has announced that starting next year, the number of international students allowed to enroll in Australian universities and vocational training providers will be capped at 270,000 – 53,000 fewer than this year, according to government figures. 

Education Minister Jason Clare highlighted at a press conference that international student numbers in universities have increased by about 10% since before the pandemic, while private vocational and training providers have seen a 50% rise.

Australia’s decision to cap international student enrollment at 270,000 is a calculated move to maintain the integrity of its educational offerings amidst growing challenges. While it aims to balance benefits with the practicalities of capacity, the long-term impact on the higher education sector and the economy remains to be seen. 

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