The Albanese administration announced on Monday that Australia will raise its cap on international students by 9% to 2,95,000 in 2026, with a renewed emphasis on applicants from Southeast Asia.
This move comes as the US takes the opposite approach, with President Donald Trump’s second term bringing a sweeping overhaul of the foreign student visa programme — one of the biggest setbacks in America’s international education footprint.
According to Reuters, Australia decided to lift the cap after a year of tighter immigration controls and a 2024 cap of 2,70,000 that officials said helped reduce what they described as “out of control” student numbers. In 2023, the country had issued nearly 6,00,000 student visas, reflecting a post-pandemic surge.
As part of a broader foreign policy aimed at reducing reliance on China, Canberra is now shifting focus toward Southeast Asia, though China and India remain key source nations. The move is also expected to benefit India.
According to a report by Hindustan Times, Education Minister Jason Clare said: “This is about making sure international education grows in a way that supports students, universities, and the national interest.”
Under the new allocation, two-thirds of the seats will go to universities and one-third to vocational training. To qualify for higher quotas, larger universities will be required to demonstrate adequate student accommodation and increase enrolments from Southeast Asia.
Australia's greatest services export, foreign education, brought in approximately A$51 billion (USD 33 billion) to the country's economy in 2024.
