Australia doubles foreign student visa fee in effort to curb migration

Australia has significantly increased the visa fee for international students in an effort to address record migration, which has been putting pressure on the housing market. Effective July 1, the visa fee has jumped from A$710 to A$1,600 ($1,068). Additionally, visitor visa holders and students with temporary graduate visas are now prohibited from applying for a student visa while in the country.

"The changes coming into force today will help restore integrity to our international education system, and create a migration system which is fairer, smaller and better able to deliver for Australia," Home Affairs Minister Clare O'Neil said.

The hike makes Australia a costlier option for prospective students compared to countries like the U.S. and Canada, where student visas cost around $185 and C$150 ($110) respectively. This move is part of a broader strategy to close visa rule loopholes that have allowed foreign students to extend their stay in Australia, with a notable 30% increase in students on subsequent visas, totaling over 150,000 in 2022-23.

These changes come on the heels of several policy adjustments since late 2022 aimed at curbing student visa exploitation. In March, English language requirements were tightened, and in May, the required savings for international students were raised to A$29,710 ($19,823) from A$24,505, marking the second increase within seven months.

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Universities Australia CEO Luke Sheehy expressed concern over the continued policy pressure, stating, "This is not good for our economy or our universities, both of which rely heavily on international student fees."

International education stands as one of Australia's largest export industries, contributing A$36.4 billion to the economy in the 2022-2023 financial year.