Australia is set to implement stricter visa regulations for foreign students this week amidst a surge in migration, intensifying pressures on the rental market, official data revealed.
Commencing this Saturday, English language proficiency requirements for student and graduate visas will be elevated, accompanied by the government’s newfound authority to suspend educational institutions from enrolling international students if they repeatedly flout regulations.
Home Affairs Minister Clare O’Neil underscored the significance of these measures in a statement, asserting they align with the government’s migration strategy to rectify perceived shortcomings in the system inherited.
Additionally, a “genuine student test” will be introduced to curtail individuals seeking entry primarily for employment purposes, alongside the expanded use of “no further stay” conditions on visitor visas.
These initiatives follow a series of actions taken last year to roll back COVID-era concessions, including unrestricted working hours for international students, with the government aiming to potentially halve migrant intake over a two-year period.
Australia had augmented its annual migration figures in 2022 to address labor shortages exacerbated by the pandemic-induced border closures, which had barred foreign students and workers for nearly two years. However, the resultant influx has exacerbated strains on an already constrained rental market.
Data from the Australian Bureau of Statistics unveiled a 60% surge in net immigration to a historic high of 548,800 in the year ending September 30, 2023, surpassing the 518,000 recorded in the year ending June 2023. Consequently, Australia’s population spiked by 2.5%, the fastest rate on record, reaching 26.8 million by September of that year.
Driven chiefly by students from India, China, and the Philippines, this record migration has augmented labor supply and tempered wage inflation. Nevertheless, it has compounded challenges in the housing sector, characterized by record-low rental vacancies and elevated construction costs hindering new supply.
O’Neil noted that government interventions since September have resulted in a downturn in migration levels, with recent international student visa grants plummeting by 35% compared to the previous year.