TRANSCRIPT
According to research by the international student organisation, IDP, Australia is no longer the preferred study destination for international students.
The report was based on a survey of more than 11,500 prospective and current international students from 117 countries.
IDP's Regional Operations Director for Australasia and Japan, Jane Li, says the United States now holds the top spot.
“Just six months ago, in our last survey round, Australia proudly shared the top spot with Canada as the preferred destination for over 10,000 survey students. However, in this survey round, the US has surpassed Australia with a 24% of respondents favoring the US compared to Australia's 23%. So while we are still holding strong, we are finding ourselves trailing just behind the US.”
Jane Li says there are a variety of reasons:
“Cost of living pressures and government visa policies are weighing heavily on our international students minds. Other factors like rent affordability in major cities, and tuition fees in Australia are also adding to the mix.”
Key factors influencing students’ choices include education quality, job prospects, and value for money.
Changes in visa policies, particularly the Albanese government’s tightening of student visas to regulate the job market, have also impacted students’ decisions.
Following the post-pandemic re-opening, Australia saw a peak in net migration with over 500,000 new arrivals last year.
The government aims to reduce this figure to 250,000 by 2025, primarily through stricter international student visa regulations, including a Genuine Student test and higher English language requirements for students and temporary graduates.
Speaking at the time, Home Affairs Minister Clare O'Neill said the changes would improve the quality of students' educational experience in Australia and reduce the potential for workplace exploitation.
“Now what we have seen with students who are struggling with their English is that they're at much higher risk of exploitation and that they are likely to gather in really low paid work and not be able to move out of that in their time in our country. Now we want to run a good integrity-filled education system here, but we also want to set our students up for success. And if we allow them to come here without functional English that will allow them to work, we're not doing that.”
Australia's visa fees are the second highest in the world, just behind the UK.
The government is said to be considering further increases in the upcoming May budget, and this fee is non-refundable.
There are also concerns that some people who apply as students actually intend to take up employment, rather than study, once they arrive.
More than 50,000 prospective students had their applications rejected in the three months to February of this year.
In the same period, the number of new student visa applications dropped for the first time in two years.
Jane Li again:
“Now this is actually less about specific policy changes and more about the perception of Australia as a welcoming destination that's making it less attractive. The Australian governments continue to have high visa rejection rates for incredibly talented, genuine students who have been planning their Australian education for years. And word is spreading about the high rejection rates and these exceptional students are beginning to look at other destinations.]]
NAB Economist Brody Viney told SBS News earlier this year that there is an economic impact from the decline of international student numbers
“International students have definitely played a significant role in keeping the economy growing over the past year. So out of the 1.5% growth that year, that's more than half of the growth was driven by that recovery and international students.”
International education was worth 50 billion dollars to Australia’s economy last year, and in terms of exports, is only fourth behind iron ore, coal and natural gas.
Jane Li says international students can be a valuable resource to Australia.
“They make a significant contribution to Australia's diversity and fill critical skill gaps in our workforce. However, while pursuing their life-changing goals, they face significant challenges relating to their employment and cost of living and integration into their new country. The entire sector must work together to help students navigate life in Australia with confidence so they can reach their full potential.”
