In a strategic move to address the challenges posed by increasing migration, the Australian government has announced a cap on international student enrollments, limiting the number to 270,000 by 2025. This decision is aimed at mitigating the pressure on the country’s housing market and infrastructure, which has been exacerbated by a record influx of immigrants. The move is part of a broader strategy to control the impact of high migration rates on essential services and urban development.
Balancing Migration and Economic Contributions
The international education sector in Australia is a significant contributor to the national economy, generating nearly AUD 36.4 billion in the 2022–2023 fiscal year. The influx of students, particularly from countries like India, China, and the Philippines, has not only boosted the labour supply but also helped in moderating wage pressures. However, the growing number of international students has also led to increased demand for housing, pushing rental prices to new highs and straining existing infrastructure.
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