Two Victorian universities have raised concerns about the Federal Government’s plan to limit international students.
The University of Melbourne and Monash University commissioned an analysis of the impacts of the proposed caps.
It showed the policy “would seriously damage the Victorian economy”, according to a statement from the universities.
Here’s what you need to know.
International student caps
In the year to April, over 780,000 international students enrolled in Australian universities, up 16% on pre-COVID levels.
In May, the Federal Government announced it planned to “limit the number of international students that can be enrolled over a particular period of time”.
Universities would be able to enrol more international students if they build more student accommodation.
The proposal is currently before the Lower House.
Victorian universities
Analysis prepared for Monash and Melbourne Universities showed there are 130,000 international students in Victoria. As these students pay their full course fees upfront, they “make a significant contribution to university finances”.
It also said international students generate another $44,000 each in economic value “through spending on accommodation, food, entertainment, travel and spending of international visitors”.
Impact
The analysis suggested the proposed law would “severely reduce the ability” of the state’s universities to “invest in infrastructure” and fund research.
University of Melbourne Deputy Vice-Chancellor Professor Michael Wesley said the “loss of income” from limiting international students will have flow-on effects on the Victorian and national economies.
“Critical services like healthcare are already being cut in Victoria due to funding pressures. These proposed caps will only do more harm to our state.”
Government response
Education Minister Jason Clare told TDA the proposed law would ensure the ongoing sustainability of the international student system.
He said consultation with universities is ongoing and that the Government plans to “make sure we get the design and implementation of these critical reforms right”.
“This is a really important national asset, and we need to ensure it maintains its social licence,” Clare said.